= A C 25-13 (similar to) Top managers of Video Street are alarmed by their operating losses. They are considering dropping the DVD product line. Company accountants have prepared the following analysis to help make this decision. (Click the icon to view the analysis.) Total fixed costs will not change if the company stops selling DVDs Data Table Read the requirements Requirement 1. Prepace as differential analysis to show whether Video Streal should drop the DVD procurd line in operating income Degin by preparing a differential analysis to show whether Video Street should drop the DVDs product line. (Enter decreases to profits with a parentheses or minus Expected decrease in revenues-Dropping DVDs Expected decrease in costs Dropping UVDs Expected Requirements Video Street Income Statement For the Year Ended December 31, 2018 1 VC pts Question Help - Total Blu-ray Disce DVD Diece Net Sales Revenue $ 130,000 $ 307,000 $ 1:23 ,0000 244,000 151.000 93,000 Variable Costs - X Contribution Margin Fixed Costs 186,000 156,000 30,000 Manufacturing 129,000 70.000 59,000 Selling and Administrative 60,000 50,000 10,000 Total Fixed Expans 189,000 120,000 69.000 (3,000) $ 36,000 $ (39,000) Operating Income (Loss) 1. Prepare a differential analysis to show whether Video Street should drop the DVD product line 2. Will dropping DVDs add $39,000 to operating income? Explain. hoose from any list or enter any number in the input fields and then click Check Answer. Print Donc Print Done