Instructions For the Year Ended April 30, 2048 Children's Shoes Men's Shoes $235,000.00 $300,000 DO Total Women's Shoes 5500,000.00 2 Sales $1,055.000.00 Costs of goods sold: Variable costs $130,000.00 41,000.00 $150,000.00 60,000.00 $220,000.00 120,000.00 $500,000.00 221,000.00 Fixed costs Total cost of goods sold $171,000.00 $64,000.00 $210,000.00 $90,000.00 $340,000.00 $160,000.00 5721,000.00 $314,000.00 1 Gross profit * Selling and administrative expenses: 9 Variable selling and admin. expenses 10 Fixed selling and admin. expenses $46,000.00 35,000.00 $81,000.00 $(17,000.00) $45,000.00 20,000.00 $65,000.00 $25,000.00 $95.000.00 25,000.00 $120,000.00 $40,000.00 $156,000.00 80,000.00 $266,000.00 548,000.00 11 Total selling and admin. expenses 12 Income (Loss) from operations Differential Analysis Shaded cells have Differential Analysis Score: 37/89 Continue (Alternative 1) or Discontinue (Alternative 2) Children's Shoes Differential Effect Continue Children's Shoes (Alternative 1) Discontinue Children's Shoes (Alternative 2) (Alternative 2) 3 Revenues 4 Costs: Variable cost of goods sold Variable selling and administrative expenses (130,000.00) (46,000.00) 41,000.00 Fixed costs 8 Income (loss)