Maccoa Soft, a division of Zayer Software Company, produces and distributes an automated payroll software system. A contribution margin format income statement for Maccoa Soft for the past year follows. Page 503 $14,400,000 Revenue (12,000 units x $1,200) Unit-level variable costs Product materials cost (12.000 x $60) (720,000) Installation labor cost (12,000 x $200) (2,400,000) Manufacturing overhead (12,000 x $2) (24,000) (300,000) Shipping and handling (12,000 x $25) Sales commissions (12,000 x $300) Nonmanufacturing miscellaneous costs (12.000 x $5) (3.600,000) _(60,000) Contribution margin (12,000 x $608) 7.296,000 Fixed costs Research and development (2,700,000) Legal fees to ensure product protection (780,000) (1,200,000) Advertising costs Rental cost of manufacturing facility (600,000) (300,000) Depreciation on production equipment (zero market value) Other manufacturing costs (salaries, utilities, etc.) (744,000) Division-level facility sustaining costs (1,730,000) Allocated company wide facility-level costs _(1.650,000 Net loss $(2,408,000) (3) Given that Maccoa is generating a loss, should Zayer eliminate it? Would your answer change if Maccoa could increase sales by 1,000 units? (3) Representatives from Section 3 should respond to the following: Why did the segment elimination decision change when the volume of production and sales increased