1. Find the expected change in annual operating income by dropping T2 and selling only T1. 2. By what percentage would sales from T - 1 have to increase in order to make up the financial loss from dropping T-2? (Enter your answer as a percentage rounded to 2 decimal places (i.e. 0.1234 should be entered as 12.34).) 3. What is the required percentage increase in sales from T1 to compensate for lost margin from T-2, if total fixed costs can be reduced by $45,000 ? (Enter your answer as a percentage rounded to 2 decimal places (i.e, 0.1234 should be entered as 12.34 ).) Barbour allocates fixed costs to products on the basis of sales revenue. When the president of Barbour saw the income statements (see below), he agreed that T-2 should be dropped. If T2 is dropped, sales of T-1 are expected to increase by 10 percent next year, but the firm's cost structure will remain the same. Required: 1. Find the expected change in annual operating income by dropping T-2 and selling only T1. 2. By what percentage would sales from T-1 have to increase in order to make up the financial loss from dropping T-2? (Enter your answer as a percentage rounded to 2 decimal places (i.e. 0.1234 should be entered as 12.34 ).) 3. What is the required percentage increase in sales from T1 to compensate for lost margin from T2, if total fixed costs can be reduced by $45,000 ? (Enter your answer as a percentage rounded to 2 decimal places (i.e. 0.1234 should be entered as 12.34 ).)