Barbour Corporation, located in Buffalo, New York, is a retailer of high-tech products and is known for its excellent quality and Innovation Recently, the firm conducted a relevant cost analysis of one of its product lines that has only two products, T-1 and T-2. The sales for 1-2 are decreasing and the purchase costs are increasing. The firm might drop T-2 and sell only T-1. Barbour allocates fixed costs to products on the basis of sales revenue. When the president of Barbour saw the income statements (see below), he agreed that T-2 should be dropped. If T-2 is dropped, sales of T-1 are expected to increase by 10% next year, but the firm's cost structure will remain the same. TR1 3265,eee 1:2 5312, vee 83, see 23,00 5159,00 156,000 63.000 5 93.990 Sales Vanable costs Cost of Boods sold Sen idinistrative contribution margin xed expenses incorporate costs xing and administrative Hot fixed expenses Ancone 2.0 25 508.00 51612000 88.00 34,000 122, 00) Required: fd the expected change in annual operating Income by dropping T-2 and selling only T-1. 2 by what percentage would sales from T1 have to increase in order to make up the financial loss from dropping T-2? (Enter your answer as a percentage rounded to 2 decimal places (.e. 0.1234 should be entered as 12.34)) He we equired percentage increase in sales from T1 to compensate for lost margin from T-2. If total fixed costs can be educed by $48.000 (Enter your answer as a percentage rounded to 2 decimal places (.e. 0.1234 should be entered as 12.34):) Prev 33 or O