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4 Rock Inc. has three divisions, Granite, Lime and Nina. All fixed costs are unavoidable. Following is the income statement for the previous year Sales

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4 Rock Inc. has three divisions, Granite, Lime and Nina. All fixed costs are unavoidable. Following is the income statement for the previous year Sales Variable Costa Contribution Margin Fixed Costa (allocated) Profit Margin Granite 4507,000 191,000 316,000 261,000 $ 55,000 Line Nina Total 272,000 227,000 $1,006,000 124,100 100, 600 415, 700 147,900 126,400 590,300 169,250 121,750 552,000 62350 4 4,650 301 300 .. What would Rock's profit margin be if the Lime division were dropped? b. What would Rock's profit margin be if the Nina division were dropped? Profit LOSS

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