7 ints Skipped QS 25-13 (Algo) Segment elimination LO P4 A manufacturer is considering eliminating a segment because it shows the following $6,500 loss. All $21,600 of its variable costs are avoidable, and $39,700 of its fixed costs are avoidable. Segment Income (Loss) Sales Variable costs Contribution margin Fixed costs Income (loss) $ 64,800 21,600 43,200 49,700 (6,500) (a) Compute the income increase or decrease from eliminating this segment. (b) Should the segment be eliminated? Complete this question by entering your answers in the tabs below. Required A Required B Compute the income increase or decrease from eliminating this segment. Segment Elimination Analysis Income Increase (Decrease) Sales Variable costs Contribution margin Fixed costs Income (loss) Continue Eliminate $ 64,800 21,600 43,200 49,700 $ (6,500) < Required A Required B >