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Discontinue a product or segment Suffolk China Ware Co Product Line Income Statement Fixed costs are 15% of the cost of goods sold and 40% of the selling and administrative expenses. Suffolk assumes that fixed costs would not be materially affected if the Cups line were discontinued. The cups line has a $7800 loss from operations. Should it be discontinued to cut the loss? Should bowls and plates be retained? Prepare a differential analysis report for all three products for December, 2010