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Product 1 is one of the many products manufactured and sold by Cceanside Company. An income statement by product the for the past year indicated

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Product 1 is one of the many products manufactured and sold by Cceanside Company. An income statement by product the for the past year indicated a net praft for Pioduct I of $2,750. This net profit resulted from saies of $275,000, cost of posds seld of $196,500, and eperating expenses of 585,750 . 3 is entimated that josh of the cost of poods sold represents fixed factery overhesd costs and that 40% of the operating expense is fixed. If product J is retained, the revenue, costs, and expenses are not expected to change significantiy from those of the. current year, Because of the large number of products manufactured, the totai fixed costs and expenses are not expected to declhe significantsy ir probuct J is ditetantinued. Prepere a differentai analysis report dated february is of the current year, if an amount is zerb, enter "0*, if required, use a minus sign to isdicate a loss. Shoudd the compary contirue ar discantinue produong Product J? The compony should producing Product 3

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