Over the prior two years, Scambled Flowers wedding revenues averaged $200,000 per year. As Thomas adapts his business to accommodate the funeral market, he expects revenues from weddings will decline by $10,000 per year. The variable costs related to wedding sales will also decline. As a result, in Year 1, Thomas would project wedding sales of $190,000 and wedding-related variable costs of $76,000 (40%*$190,000). The fixed costs associated with weddings will not change. Sales decline by $10,000, variable costs decline by $4,000 compared to operating only weddings. This results in a net reduction of revenue related to wedding sales of $6,000. In Year 2, Thomas anticipates sales of $180,000, a $20,000 decline, and variable costs of $72,000, an $8,000 decline, resulting in a net reduction in revenue of $12,000. Thomas expects the cumulative sales reductions to continue through year 6, when sales are expected to be $140,000