Dish N' Dat Company Product-Line Income Statement For the Month Ended March 31 Bowls Cups Sales Plates $88,700 33,000 $66,000 26,400 $27,600 15,200 Cost of goods sold Gross profit $39,600 $55,700 $12,400 Selling and administrative expenses 28,900 35,400 16,400 Income from operations $10,700 $20,300 $(4,000) Fixed costs are 16% of the cost of goods sold and 45% of the selling and administrative expenses. Dish N' Dat assumes that fixed costs would not be materially affected if the Cups line were discontinued. a. Prepare a differential analysis dated March 31 to determine if Cups should be continued (Alternative 1) or discontinued (Alternative 2). If an amount is zero, enter "O". Use a minus sign to indicate a loss. Differential Analysis Continue Cups (Alt. 1) or Discontinue Cups (Alt. 2) March 31 Continue Cups (Alternative 1) Discontinue Cups (Alternative 2) Differential Effect on Income (Alternative 2) Revenues Costs: Variable cost of goods sold Variable selling and admin. expenses Fixed costs Income (Loss) b. Should the Cups line be retained