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EX 25-4 Differential analysis for a discontinued product OBJ. 1 The condensed product-line income statement for Dish N Dat Company for the month of May

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EX 25-4 Differential analysis for a discontinued product OBJ. 1 The condensed product-line income statement for Dish N Dat Company for the month of May is as follows: Fixed costs are 15% of the cost of goods sold and 30% 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 May 31 to determine if Cups should be continued (Alternative 1) or discontinued (Alternative 2). b. Should the Cups line be retained? Explain. Ex. 254 Nine: Slater: tever ise a. k. To chen ine nane in apue mintse and i. t tre bike a disinenat EX 25-4 Differential analysis for a discontinued product OBJ. 1 The condensed product-line income statement for Dish N Dat Company for the month of May is as follows: Fixed costs are 15% of the cost of goods sold and 30% 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 May 31 to determine if Cups should be continued (Alternative 1) or discontinued (Alternative 2). b. Should the Cups line be retained? Explain. Ex. 254 Nine: Slater: tever ise a. k. To chen ine nane in apue mintse and i. t tre bike a disinenat

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