QUESTION & Total 5.650.000 $240,000 PROBLEM B2 LaClothes, Inc. expects the following monthly results for the coming year, Hata Shirts Jeans Salex $99.000 $110.000 $350,000 Variable $50,000 $ 30,000 $100,000 costs Fbxad costs 60.000 40,000 100.000 Total costs $110,000 $ 70.000 $260.000 Profit (los) S (20,000) $ 40,000 $ 90,000 Required: Answer each of the following questions independently. 200.000 $140,000 $110,000 Suppose that faced costs, all unavoidable, are allocated based on the floor space each segment occupies. What will total profits bad LeClothes drops the hats segment? (5 points) b. Suppose that $25,000 of the fixed costs shown for the hats segment is avoidable. What will total profits bei Le Clothes drops the huts segment? (10 points) Suppose that LeClothes could avoid $25,000 in fixed costs by dropping the hats segment (as in requirement b). However, the managers believe that if they do drop hats, sales of each of the other lines will fall by 10%. What will profits belt LeClothes drops hats and loses 10% of the sales of each of the other segments? (10 points) + Paragraph v Arial 3 (12pt)