Flounder Company has four operating division. During the test quarter of 2017, the company ceported aggregate income from operations of 5212.300 and the following divisionat results. Sales Cost of goods sold Selling and administrative expenses Income foss) from operations $247.000 200.000 49.700 $125.700) Division IT $198.000 $499.000 193.000 295,000 56,000 65.000 $ 151.0001 $239.000 IV $448.000 250,000 48.000 $150.000 Analysis reveals the following percentages of variable costs in each division 1 Cost of goods sold Selling and administrative expenses 71 38 11 88 X 59 81 50 IV 76 % 60 Discontinuance of any slon would sowe Sok of the food costs and expenses for that whilon Top management is very concemed about the unprofitable divisions t and I. Consensus is that one or both of the divisions should be discontinued Compute the contribution Feren for Division and It (Enter negative amounts using either o negative sin preceding the number -45 or parentheses (452) Divion Division 11 Contribution mare $ Textbook and Media Prepare an increments concerning the possible contience of Divihdon t Round answers to decimal places. 1525 amount decres et income then enter the amount using either a negative sin preceding the number 45 parentheses 45 Increase Dec Prepare an incremental analysis concerning the possible discontinuance of Division II (Round answers to decimal places, eg. 1525. If amount decreases net income then enter the amount using either a negative sign preceding the number eg.-45 or parentheses e.g. (451) Continue Eliminate Net Income Increase (Decrease) Contribution margin Fixed costs Cost of goods sold Selling and administrative Total fixed expenses Income (loss) from operations $ $ eTextbook and Media What course of action do you recommend for each division Division 1 Division 11 eTextbook and Media Prepare a columnar condensed income statement for Flounder Company, assuming Division II is eliminated. Division Il's unavoidable fixed costs are allocated equally to the continuing divisions. (If amount decreases net income then enter the amount using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45) FLOUNDER COMPANY CVP Income Statement Divisions III IV Sales $ Variable costs Cost of goods sold Selling and administrative Total variable costs Contribution margin Fixed costs Cost of goods sold Selling and administrative Total fixed costs Income (loss) from operations eTextbook and Media