Green Thumb Landscaping Q1. If the company can NOT eliminate any Indirect Cost, yet Drops the Low Maintenance Lawn Business Segment with NO change in the activity for other business segments, compute the financial advantage or disadvantage. Enter advantage as a positive number; disadvantage as a negative number. Q2: If the Low Maintenance Lawn Business Segment is dropped, these actions are possible. (a) The VP of Operations has indicated that Depreciation on Tools \& Equipment, costing $70,000 per fiscal period can be taken offline. The equipment has no salvage value. (b) The VP of Operations also indicated that Heavy Equipment rented for $60,000 a year can be returned to the equipment rental company with no penalty. (c) The company would terminate an Operation Supervisor, avoiding $100,000 in salaries. (d) The Controller identifies $50,000 in wages paid to part-time employees in the office. These employees would be terminated. (e) The VP of Marketing indicates that 25% of Marketing Expenses can be eliminated. Compute the Total Avoidable Costs (Total Reduction in Indirect Costs). Enter the total avoidable costs as a positive number. Q3. Compute the financial advantage (disadvantage) if the Low Maintenance Lawn Business Segment is dropped and the above actions are implemented. Enter advantage as a positive number; disadvantage as a negative number. Q4. If the Low Maintenance Lawn Business Segment is dropped with NO change in the other business segments, what is the minimum reduction in Indirect Costs that justifies dropping the business segment? Enter the reduction as a positive number