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1. 2. 3. It is estimated that 14% of the cost of goods sold represents fixed factory overhead costs and that 21% of the operating

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It is estimated that 14% of the cost of goods sold represents fixed factory overhead costs and that 21% of the operating expenses are fixed. Since King Cois is only ane of muny products; the fixed costs will not be materially offected if the product is discontinued. a. Prepare a differential analysis, dated March 3, to determine whether King Cola should be continued (Aiternative 1) or discontinued (Aternative 2). If an amount is zero, ente zero 01, Use a minus sign to indicate a loss. If the Children Shoe's are discontinued, the company's would by 5 Companion Computer Company has been purchasing carrying cases for its portable computers at a purchase price of 357 per unt, The compeny, nhich is currentfy opetrating belaw as follows: expected to be 16% of the direct labor costs. Prepare a differential analysis dated February 24 to determine whether the company should make (Abernative 1) or buy (Altemntive 2) the carrying case. If required, round vour

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