For the situation described below, which managerial accounting tool would be the most appropriate/helpful? Situation: Company X produces comfortable Men's suits and Women's, sional-wear suits, Due to the shrinking demand for men's suits, Company X 's men's suits segment has been losing sales and reported losses for the last two years. The company needs to decide whether to keep or drop the men's suits segment. The most appropriate tool for them to utilize, from those listed below, ts: CVPanalysis Master budgeting Traditional job-order costing Differential Analysis Categorizing costs as fixed and variable costs Variance analysis Activity-based costing system Question 17 Which of the following statements is correct about differential analysis? A relevant benefit is a benefit that differs between alternatives: Sunk costs are relevant to decision making. Avoidable costs are not relevant costs. Fine Inc, can add a new product to their product line. - The company would sell the product for a price of $100 per unit. - The variable cost will be $30 per unit. - The company will need to incur an additional fixed cost of $78,000 per year to sell this new product. If they expect to sell 1,000 units per year of the new product, should they add this new product to their product line? Assume that their goal is to increase profit. and they will add any product that increases profit, and reject any product that decreases profit. The company does not have enough information to calculate the profit effect of adding this new product to their product line. The company should add this new product to their product line. The company should not add this new product to their product line. The company is indifferent between adding or not adding this new product to their product line