Petoskey Company produces three products: Alanson, Boyne, and Conway. A segmented income statement, with amounts given in thousands, follows:

Alanson Boyne Conway Total

Sales revenue $1,280 $185 $315 $1,780

Less: Variable expenses 1,115 45 221 1,381

Contribution margin $165 $140 $94 $399

Less direct fixed expenses:

Depreciation 50 15 11 76

Salaries 95 85 100 280

Segment margin $20 $40 $(17) $43

Direct fixed expenses consist of depreciation and plant supervisory salaries. All depreciation on the equipment is dedicated to the product lines. None of the equipment can be sold.

Assume that each of the three products has a different supervisor whose position would remain if the associated product were dropped.

Required:

CONCEPTUAL CONNECTION: Estimate the impact on profit that would result from dropping Conway. Enter amount in full, rather than in thousands. For example, "15000" rather than "15".

Decrease

$fill in the blank 2

block Pri tem Mercedesordeading this item. If this continues to occur, please contact Technical Support Petoskey Company produces three products: Alanson, Boyne, and Conway. A segmented income statement, with amounts given in thousands, follows: Alanson Boyne Conway Total Sales revenue $1,280 $185 $215 $1,780 Less: Variable expenses 1,115 45 221 1,381 Contribution margin $165 $140 $94 $399 Less direct fixed expenses Depreciation 50 15 11 76 Salaries 95 85 100 280 Segment margin $20 $40 $(17) $43 Direct fixed expenses consist of depreciation and plant supervisory salaries. All depreciation on the equipment is dedicated to the product lines. None of the equipment can be sold Assume that each of the three products has a different supervisor whose position would remain if the associated product were dropped. Required: CONCEPTUAL. CONNECTION. Estimate the impact on profit that would result from dropping Conway. Enter amount in full, rather than in thousands. For example, "15000 rather than "15" Decrease . X Should Petoskey keep or drop Conway? Check My Work Previous Next > Al worked Save and Fall Submit Assignment for Grade