Discontinue a Segment Product B has revenue of $39,500, variable cost of goods sold of $25,500, variable selling expenses of $16,500, and fixed costs of $15,000, creating a loss from operations of $17,500. Prepare a differential analysis as of May 9 to determine whether Product B should be continued (Alternative 1) or discontinued (Alternative 2), assuming fixed costs are unaffected by the decision. If an amount is zero, enter "O". For those boxes in which you must enter subtracted or negative numbers use a minus sign Differential Analysis Continue Product B (Alt. 1) or Discontinue Product B (Alt. 2) May 9 Differential Continue Product B Discontinue Products Effect on Income (Alternative 1) (Alternative 2) (Alternative 2) Revenue 39.500 139.500 COSTS -25.500 X 25.500 X Variable cost of goods sold 0 -16.500 Variable selling expenses 16500X X 0 15.000 Fixed costs 15.000 X -17.500 13.000 2.500 Income (Loss) Feedback Check My Work For continue and discontinue alternatives subtract the costs from the revenue Determine the differential effect on income of the revenues, costs, and income oss by subtracting alternatives from alternative 2 Determine Product should be continued (Aternative or discontinued (Alterative 2) Discontinued Feedback