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Debra King a recent graduate of Duffy Dog Universitvs accountipe program, evaluated the coeratiris performance of wankioe Company's six divisions. Debra made the fallowing presentation

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Debra King a recent graduate of Duffy Dog Universitvs accountipe program, evaluated the coeratiris performance of wankioe Company's six divisions. Debra made the fallowing presentation to lvanhoe's bourd of directors and vugsested the Erie division ter climinsted. "If the Erie division is eliminated," she said, "our total profits would increase by $24,200 " In the Erie division, the cost of goods sold is $61,000 variable and $15,200 fixed, and operating epenaes are $14,700 variable and $33.600 fixed. None of the Erie division's fowd costs will be eliminated if the division is discontinued. Is Debra right about eliminating the Erle Division? Prepore aschedule to support your answer. Of an ancunt reduces the net income then enter with o negatlive sign preceding the number es - 15,000 or porentheihs, es. (15,0004). enter with a negotive sign preceding the number es-15,000 or partnthests, es. (15,0004)

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