The following questions are based upon the following data from your practice midterm, with the amounts changed. Problem I Problem II Year 1 Year 2 Year 1 Year 2 Taxes, T: 400 400 400 300 Consumption, C: 882 468 ___ Net Investment, I: ___ 340 286 Government Spending on Goods, G: 500 500 200 200 Interest Rate: 7.7% 6.8% 1.2% 8.2% Cash Held by Public: 400 200 400 400 Demand Deposits: 600 300 600 600 Depreciation, D: 200 200 200 200 GDP: 1736 1048 1952 1966 Price Level, P: 2 2 2.5 2.5 Money Supply

The cook corporation has two divisions--east and west. the divisions have the following revenues and expenses: east westsales $ 603,000 $ 506,000 variable costs 231,000 300,000 traceable fixed costs 151,500 192,000 allocated common corporate costs 128,600 156,000 net operating income (loss) $ 91,900 $ (142,000 )the management of cook is considering the elimination of the west division. if the west division were eliminated, its traceable fixed costs could be avoided. total common corporate costs would be unaffected by this decision. given these data, the elimination of the west division would result in an overall company net operating income (loss) of: multiple choice$91,900$(64,100)$(142,000)$(50,100)