MSI is considering ciminating a product from its Toddie Town Tours colection. This colection is aimed at children one to three years of age and includes 'tours" of a hypothetical town. Two products, The Pet Store Parade and The Grocery Getaway, have impressive salcs. However, sales for the third CD in the colection, The Post Office Polka, have lagged the others. Several other CDs are planned for this colection, but nonc is ready for production. MSi's information related to the ToddleTown Tours collection folows Segmented Income Statement for MSI's Toddle Town Tours Product Lincs Pet Store Grocery Ottice 120,000 $115,000 $33,000 $208,000 47.000 29.000 127.000 Variable costs Less: Direct Fixed costs Less: Common fxed costs 50.0000 2.000127000 08.000 $ 4,000 $141,000 3.100 18.000 Contrbution margin Segment margin Net operating income (oss) 69,000 7.600 7.300 S 61400 60.700 900 $123,000 900 $123.000 5.750 1.650 13.400 S 55.400 S 54.950 S 750) $109.600 Alocated based on total sales dolars. MSI has determined that climination of the Post Office Poka (POP) program would not impact sales of the other two items. The remaining fixed overhead currently allocated to the POP product would be redistributed to the remaining two products. Required: 1. Calculate the incremental effect on profit if the POP product is climinated. 2. Should MSI drop the POP product? O Yes No 3-a. calculate thincrementaamoct on profit if the POP product is eliminated. Suppose that $1,200 of the common food costs could b avided the POP product line were eliminated on Profi