Required: CONCEPTUAL CONNECTION Should SolarGlo accept the special order? By how much wi profit increase or decrease if the order is accepted? JECTIVE Exercise 13-18 Keep-or-Drop Decision Petoskey Company produces three products: Alanson, Boyne, and Conway. A segmented incon statement, with amounts given in thousands, follows: lanson Boyne Conway Total S1,765 380 75 S 45 Sales revenue Less: Variable expenses S1,280 S185 S300 75 10 1,165 140 Contribution margin Less direct fixed expenses: Depreciation Salaries 50 95 S 20 15 85 Segment margin 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. Also, eac of the three products has a different supervisor whose position would remain if the associat product were dropped. Required: CONCEPTUAL CONNECTION Estimate the impact on profit that would result from droppin Conway. Explain why Petoskey should keep or drop Conway