(Answered) Lets talk about the eliminate a segment of the business

Accounting

Let's talk about the eliminate a segment of the business incremental analysis. When we look at a subsidiary unit that may not be performing up to expectation, is it better to continue to operate until the unit is sold, or would it be best to simply shut down that division?

What is the impact of fixed cost on this decision? Would it be better to continue to operate and lesses the loss that is occurring?

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