Helen Martin, a recent graduate of Bell's accounting program, evaluated the operating performance of Ivanhoe Company's six divisions. Helen made the following presentation to Ivanhoe'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 $25,900." Sales Cost of goods sold Gross profit Operating expenses Net income The Other Five Divisions $1,665,000 978,500 686,500 526,900 $159,600 Percy Division $100,600 76,600 24,000 49,900 $(25,900) Total $1,765,600 1,055,100 710,500 576,800 $133,700 In the Percy Division, cost of goods sold is $59,200 variable and $17,400 fixed, and operating expenses are $30,600 variable and $19,300 fixed. None of the Percy Division's fixed costs will be eliminated if the division is discontinued. Is Helen right about eliminating the Percy Division? Prepare a schedule to support your answer. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Continue Eliminate Net Income Increase (Decrease) $ $ 0 i i Sales Variable costs Cost of goods sold Operating expenses Total variable Contribution margin Fixed costs Cost of goods sold Operating expenses Total fixed i Net income (loss) $ $ $ Helen is incorrect