Pharoah Forest Corporation operates two divisions, the Timber Division and the Consumer Division. The Timber Division manufactures and sells logs to paper manufacturers. The Consumer Division operates retail lumber mills which sell a variety of products in the do-it-yourself homeowner market. The company is considering disposing of the Consumer Division since it has been consistently unprofitable for a number of years. The income statements for the two divisions for the year ended December 31, 2022 are presented below. Timber Division Consumer Division Total Sales $1,680,000 $560,000 $2.240,000 Cost of goods sold 1,008,000 392,000 1,400,000 Gross profit 672,000 168,000 840,000 Selling & administrative expenses 70.560 Net income $601,440 201,600 $(108,640) 272.160 $492,800 In the Consumer Division, 70% of the cost of goods sold are variable costs and 35% of selling and administrative expenses are variable costs. The management of the company feels it can save $50,400 of fixed cost of goods sold and $56,000 of fixed selling expenses if it discontinues operation of the Consumer Division (a) Determine whether the company should discontinue operating the Consumer Division. (Enter negative amounts using either a negative sign preceding the number eg-45 or parentheses eg. (45). Do not leave any field blank. Enter O for the amounts. List variable expenses before fixed expenses) Selling and Administrative Expense Variable Expenses Cost of Goods Sold Sales Net Income/ (Loss) Contribution Margin Fixed Expenses Continue Eliminate Net Income Increase (Decre (a) Determine whether the company should discontinue operating the Consumer Division. (Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses eg. (45). Do not leave any field blank. Enter O for the amounts. List variable expenses before fixed expenses.) >