Decision to Discontinue a Product On the basis of the following data, the general manager of Featherweight Shoes Inc. decided to discontinue Children's Shoes because it reduced income from operations by $17,000. Featherweight Shoes Inc. Product-Line Income Statement For the Year Ended April 30, 2018 Children's Shoes Men's Shoes $235,000 $300,000 Total Women's Shoes $500,000 Sales $1,035,000 Costs of goods sold: Variable costs $130,000 $150,000 $220,000 s500,000 41,000 60,000 120,000 221,000 $171,000 $210,000 $340,000 $721,000 $64,000 590,000 $160,000 $314,000 Fixed costs Total cost of goods sold Gross profit Selling and administrative expenses: Variable selling and admin. expenses Fixed selling and admin. expenses Total selling and admin. expenses Income (Loss) from operations $46,000 $45,000 $95,000 $186,000 80,000 35,000 20,000 25,000 $65,000 $120,000 5266,000 $81,000 s(17,000) 525,000 $40,000 $48,000 a. Prepare a differential analysis to determine the flavr in the general manager's decision. If an amount is zero, enter "0". Use a minus sign to indicate a loss. a Differential Analysis Continue (Alternative 1) or Discontinue (Alternative 2) Children's Shoes Continue Children's Shoes Discontinue Children's Shoes Differential Effect on Income (Alternative 1) (Alternative 2) (Alternative 2) Revenues Costs: Variable cost of goods sold Variable selling and admin. expenses Fixed costs Income (Loss)