no idea with this question

Beginner Advanced Revenues (1,005 x $910; 805 x $1,655) 914,550 $ 1,332,275 Operating costs Administrative salaries 235,000 206,000 Guide wages 265,000 766,000 Supplies 107,500 215,000 Depreciation of equipment 52,000 130,000 Vehicle fuel 65,000 50,000 Allocated corporate overhead 92,000 137,000 Total operating costs 816,500 1,504,000 Operating income (loss) 98,050 $ (171,725)1. If the Advanced tours are discontinued, one administrative position could be eliminated, saving the company $108,000. Assuming no change in the sales of Beginner tours, what effect would dropping the Advanced tour have on the company's operating income? 2. Refer back to the original data. If Shea River Tours drops the Advanced tours, Smith estimates that sales of Beginner tours would increase by 50%. He believes that he could still eliminate the $108,000 administrative position. Equipment currently used for the Advanced tours would be used by the additional Beginner tours. Should Smith drop the Advanced tour? 3. What additional factors should Smith consider before dropping the Advanced tours?Shea River Tours, a division of Old World Travel, offers two types of guided fishing tours: Beginner and Advanced. Operating income for each tour type in 2017 is as follows: (Click to view the operating income for each tour type.) The equipment has a zero disposal value. Guide wages, supplies, and vehicle fuel are variable costs with respect to the number of tours. Administrative salaries are fixed costs with respect to the number of tours. Mike Smith, Shea River Tours' president, is concerned about the losses incurred on the Advanced tours. He is considering dropping the Advanced tour and offering only the Beginner tour. Required Requirement 1. If the Advanced tours are discontinued, one administrative position could be eliminated, saving the company $108,000. Assuming no change in the sales of Beginner tours, what effect would dropping the Advanced tour have on the company's operating income? (Enter losses in revenues as a negative amount. Enter a zero if the cost is not relevant. If the net effect is an operating loss, enter the amount with parentheses.) Difference: Incremental (loss in revenues) and savings in costs from dropping Advanced tours Lost revenues from Advanced tours Avoidable operating costs from dropping Advanced tours: Administrative salaries Guide wages Supplies Vehicle fuel Total avoidable costs Gain/(loss) in operating income from dropping Advanced tours On the basis of financial considerations alone, should Shea River Tours discontinue the Advanced tours, assuming one administrative position could be eliminated, saving the company $108,000? (Enter a positive amount only.)Shea's operating profit will be $ if it discontinues the Advanced tours. Therefore, Shea discontinue the Advanced tours. Requirement 2. Refer back to the original data. If Shea River Tours drops the Advanced tours, Smith estimates that sales of Beginner tours would increase by 50%. He believes that he could still eliminate the $108,000 administrative position. Equipment currently used for the Advanced tours would be used by the additional Beginner tours. Should Smith drop the Advanced tour? (Enter a zero if the cost is not relevant. If the net effect is an operating loss, enter the amount with parentheses. Enter losses in revenues and increases in costs as negative amounts.) Difference: Incremental (gain in revenues) and Difference: Incremental increase in costs from (loss in revenues) and Beginner 50% sales savings in costs from increase dropping Advanced tours Total Change in revenues Change in operating costs: Administrative salaries Guide wages Supplies Vehicle fuel Total change in operating costs Change in operating incomeShould Shea River Tours try to sell more Beginner tours? (Enter a positive amount only.) Shea will generate $ of incremental operating and, therefore, try to sell more Beginner tours. Requirement 3. What additional factors should Smith consider before dropping the Advanced tours? Select all of the correct statements. A. Smith should see if it is possible to reduce the costs of Advanced tours before dropping them. B. Smith should consider if it is possible to increase the number of Advanced tours sold. C. Smith should consider if it is possible to decrease the number of Advanced tours sold. D. Smith should investigate the possibility of increasing the price of the Advanced tours if customers would tolerate it. E. None of the above are correct