Outdoor Luggage Corporation produces hard-sided luggage for sports equipment. Financial data for three of the corporation's most popular products appear below. Golf Fishing Ski Guard Total Guard Guard $ 914,000 $263,000 $ 401,000 $250,000 466,000 111,000 195,000 160,000 448,000 152,000 206,000 90,000 Sales Variable manufacturing and selling expenses Contribution margin Fixed expenses: Advertising, traceable Depreciation of special equipment Salaries of product-line managers Allocated common fixed expenses* Total fixed expenses Net operating income (loss) 68,800 8,400 40,100 20, 300 44,000 20, 300 8,000 15, 700 115,300 40, 600 38,000 36,700 182,800 52,600 80, 200 50,000 410,900 121,900 166,300 122,700 $ 37,100 $ 30,100 $ 39,700 $ (32,700) *Allocated on the basis of sales dollars. Management is concerned about the continued losses shown by the fishing guards and wants a recommendation as to whether or not the line should be discontinued. The special equipment used to produce fishing guards has no resale value and does not wear out. Required: 1. What is the financial advantage (disadvantage) per quarter of discontinuing the fishing guard model? 2. Should the production and sale of fishing guards be discontinued? 3. Prepare a properly formatted segmented income statement that would be more useful to management in assessing the long-run profitability of the various product lines. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the financial advantage (disadvantage) per quarter of discontinuing the fishing guards? Required 1 Required 2 Required 3 Should the production and sale of fishing guards be discontinued? Yes O No