0.92 points Freeflight Airlines in presently operating at 70 percent of capacity Management of the airline is considering dropping Freeflight's routes between Europe and the United States. If these routes are drops revenue associated with the routes would be lost and the related variable costs saved. In addition, the company's total fixed costs would be reduced by 20 percent Segmented income statements for a typical month appear as follows (all amounts in millions of dollars) Routes Sales Within US Within Europe Between U.S and Europe 53.11 $2.74 $2.70 Vanable costs 1.30 0.97 1.77 Fixed costs allocated to routes 165 1.27 1.37 Operating profit (loss) 50.16 $0.50 $0.35) Required: a. Prepare a differential cost schedule. (Enter your answers in millions rounded to 2 decimal places.) Difference (all lower under Status Quo Alternative: Drop U.S. to Europe the alternative) Revenue Less: Variable costs Contribution margin 1 Less: Fixed costs Operating profit (loss) b. Should Freeflight drop the routes between Europe and the United States? Yes No