N Netflix X P Do Homework - Chapter M-10 x Homework Help - Q&A from Or x C mylab.pearson.com/Student/PlayerHomework.aspx?homeworkld=642070126&questionld=5&flushed=false&cld=7269176¢erwin=yes * 0 m : 23/WI Introduction to Managerial Accounting Ali Hamade 05/01/23 7:25 AM Homework: Chapter M-10 Homework Question 16, PM10-23A (similar to) HW Score: 78.18%, 19.55 of 25 points Save Part 1 of 3 x Points: 0 of 5 Members of the board of directors of Security System have received the following operating income data for the year ended May 31, 2024: Question list K (Click the icon to view the operating income data.) Members of the board are surprised that the industrial systems product line is not profitable. They commission a study to determine whether the company should drop the line. Company accountants estimate that dropping industrial systems will decrease fixed cost of goods sold by $82,000 and decrease fixed selling and administrative expenses by $15,000. Question 4 Read the requirements. Question 5 Requirement 1. Prepare a differential analysis to show whether Security System should drop the industrial systems product line. (Use parentheses or a minus sign to enter decreases to profits.) Question 6 Expected decrease in revenues Expected decrease in fixed costs Expected decrease in total variable costs - X Question 7 Expected decrease in total costs Data table Expected decrease in operating income Question 8 Security System Income Statement Question 9 For the Year Ended May 31, 2024 Product Line Industrial Household Systems Systems Total Question 10 Net Sales Revenue 300,000 $ 310,000 $ 610,000 X Cost of Goods Sold: Question 11 Requirements Variable 33,000 43,000 76,000 Fixed 230,000 $8,000 298,000 1. Prepare a differential analysis to show whether Security System should drop the industrial Total Cost of Goods Sold 263,000 111,000 374,000 Question 12 systems product line 2. Prepare contribution margin income statements to show Security System's total operating Gross Profit 37,000 199,000 236,000 income under the two alternatives: (a) with the industrial systems line and (b) without the line. Selling and Administrativ Question 13 Compare the difference between the two alternatives' income numbers to your answer to Requirement 1. Variable 61,000 76,000 137,000 3. What have you learned from the comparison in Requirement 2? Fixed 38,000 21,000 59,000 Question 14 Total Selling and Administrative Expenses 99,000 97,000 196,000 Operating Income (Loss) (62,000) $ 102,000 $ 40,000 Print Done Question 15 Print Done x Question 16 Help me solve this Demodocs example Get more help - Clear all Final check