Exercise 20-15 Veronica Mars, a recent graduate of Bell's accounting program, evaluated the operating performance of Dunn Company's six divisions, Veronica made the following presentation to Dunn's board of directors and suggested the Percy Division be eliminated. "If the Percy Division is eliminated," she said, "our total profits would increase by $26,900.- Sales Cost of goods sold Gross profit Operating expenses Net income The Other Percy Five Divisions Division $1,665,000 $100,600 978,700 77,000 686,300 23,600 527,200 50,500 $159,100 $ (26,900) Total $1,765,600 1,055,700 709,900 577,700 $132,200 In the Percy Division, cost of goods sold is 559,200 variable and $17,800 fixed, and operating expenses are $31,600 variable and $18,900 fixed. None of the Percy Division's fixed costs will be eliminated if the division is discontinued. Is Veronica right about eliminating the Percy Division? Prepare a schedule to support your answer. (Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses e.g. (45).) Na Tar Net Income Increase (Decrease) Continue Eliminate Sales Variable costs Cost of goods sold Operating expenses Total variable Contribution margin Fixed costs Cost of goods sold Operating expenses Total fixed Net income (loss) Veronica is Click if you would like to Show Work for this questioni Open Show Work