Check my ww Sales Variable manufacturing and selling expenses Contribution margin Fixed expenses: Advertising, traceable. Depreciation of special equipment Salaries of product-line managers Allocated common fixed expenses Total fixed expenses Net operating income (loss) "Allocated on the basis of sales dollars. $200,000 250,000 478,000 112,000 209,000 157,000. 456,000 154,000 201,000 101,000 70,000 43,300 8,900 40,500 20,500 20,600 7,100 15,700 114,200 40,400 38,200 35,600 186,800 53,200 82,000 414,300 123,000 167,800 51,600 123,500 $ 41,700 $31,000 $ 33,200 $(22,500) Management is concerned about the continued losses shown by the racing bikes and wants a recommendation as to whether or not the line should be discontinued. The special equipment used to produce racing bikes has no resale value and does not wear out. Required: 1. What is the financial advantage (disadvantage) per quarter of discontinuing the Racing Bikes? 2. Should the production and sale of racing bikes be discontinued? Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is the financial advantage (disadvantage) per quarter of discontinuing the Racing Bikes? Financial (disadvantage) per quarter Sales Variable manufacturing and selling expenses Contribution margin Fixed expenses: Advertising, traceable Depreciation of special equipment Salaries of product-lin managers Allocated common fixed expenses Total fixed expenses Net operating income (loss) "Allocated on the basis of sales dollars. Total Dirt Bikes Mountain Racing Bikes Bikes $934,000 $266,000 $410,000 $258,000 478,000 112,000. 209,000 157,000 456,000 154,000 201,000 101,000 70,000 8,900 43,300 20,500 114,200 40,400 186,800 53,200 40,500 20,600 7,100 15,700 38,200 35,600 414,300 123,000 82,000 167,800 51,600 123,500 $ 41,700 $31,000 $ 33,200 $(22,500) Management is concerned about the continued losses shown by the racing bikes and wants a recommendation as to whether or not the line should be discontinued. The special equipment used to produce racing bikes has no resale value and does not wear out. Required: 1. What is the financial advantage (disadvantage) per quarter of discontinuing the Racing Bikes? 2. Should the production and sale of racing bikes be discontinued? Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is the financial advantage (disadvantage) per quarter of discontinuing the Racing Bikes? Financial (disadvantage) per quarter Required 1 Required 2 >