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Can someone please help me answer this questions TOTES Case Study- Appleton Division UNPROFITABLE SEGMENT: LABS THE FACTORY STORE The cost accountants DISCONTINUE RATING quarter.

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Can someone please help me answer this questions
TOTES Case Study- Appleton Division UNPROFITABLE SEGMENT: LABS THE FACTORY STORE The cost accountants DISCONTINUE RATING quarter. Costs are prepare Exhibit 5-C it to management each d present traced and or allocated to each division based on sales and actual division costs. Company administrative costs are allocated based on sales; allocated to ng and marketing costs are equally advertisi all divisions except for 3.000 of avoidable costs are traced the factory store. online sales directly to The staff and product representatives are paid on commission: whereas, the factory store sales stafmare salaried. For the last few years, the Factory store has barely broken even Based on the information in the most recent report, management must decide whether to keep the factory store open. After completing your analysis using Exhibit 5-C, state your recommendations. EXHIBITS C: Income by sales division To.T.E s. ncome Statement by Sales Division Online Sales Product Rees Easton store Iotal 1,425,000 s 831.250 118,750 2.375,000 Variable Costs 85,180 1,703,600 118,750 Total 658,010 85,180 1.822,350 1.079.160 S Rs 345,840 S 173.240 S 133.570 S SS2,650 Contribution Margin Marketing, Advertising and Selling Admin Costs 38,183 38,183 38,183 114,550 Salaries 6,000 Allocated Admin and General Costs 179,760 104,860 299,600 S 217943 s 14.043 159 163 3 420.150 Total Fixed Costs Operating Income (Loss) 122897 30.197 S (25,593) 132,500 Contribution Margin Avoidable Costs Projected Change in Operating Income

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