A condensed income statement by product line for Celestial Beverage Inc. indicated the following for Star Cola for the past year:

Sales	$394,200
Cost of goods sold	185,500
Gross profit	$208,700
Operating expenses	258,900
Loss from operations	$ (50,200)

It is estimated that 18% of the cost of goods sold represents fixed factory overhead costs and that 27% of the operating expenses are fixed. Because Star Cola is only one of many products, the fixed costs will not be materially affected if the product is discontinued.

	Required:
A.	Prepare a differential analysis, dated January 21 to determine whether Star Cola should be continued (Alternative 1) or discontinued (Alternative 2). Refer to the lists of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. If there is no amount or an amount is zero, enter "0". A colon (:) will automatically appear if required.
B.	Should Star Cola be retained? Explain.

A. Prepare a differential analysis, dated January 21 to determine whether Star Cola should be continued (Alternative 1) or discontinued (Alternative 2). Refer to the lists of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. If there is no amount or an amount is zero, enter "0". A colon (:) will automatically appear if required.

As indicated by the differential analysis in part (A), the income would decrease by _________ if the product is discontinued.