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18 The management of Bonga Corporation is considering dropping product D7AF. Data from the company's accounting system for this product for last year appew below

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18 The management of Bonga Corporation is considering dropping product D7AF. Data from the company's accounting system for this product for last year appew below 8 000 Sales Variable expenses Fixed manufacturing expenses Fixed selling and administrative expenses $942,00 $420,00 $355,600 $262.000 Allfixed expenses of the company are fully allocated to products in the company's accounting system. Further investigation has revealed that $222,000 of the Band manufacturing expenses and $133.000 of the lived selling and achinistrative expenses are avoidable product D70E is discontinued According to the company's accounting system what is the net operating income foss) earned by product 074include all costs in the calculation whether relevant or not 19 Two ateratives, code-named X and Y, are under consideration at Guyer Corporation Corts associated with the alternatives are listed below Alternative Alternative 800.00 Materials costs Processing costs Equipment rental Occupancy costs $53,cee $58,280 $21,800 $20,800 $77,000 $58, 200 $21, Bee $38,9ee What is the financial advantage (disadvantage) of Alternative Yover Alternative

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