Rivera Market (RM) runs two convenience stores, one in Vancouver and one in Surrey. Operating income for each store in the year follows (Click the icon to view the operating income for the stores) The equipment has a remaining useful life of one year and a zero disposal price. in a senior management meeting, Maria Lopez, the management accountant at Rivera Market, makes the following comment, "RM can increase its profitability by closing down the Surrey store or by adding more store like it: " Requirement 1. Calculate RM's operating income if it closes down the Surrey store. By closing down the store, RM can reduce overall corporate overhead costs by $54,000 is Maria Lopez correct? Explain. (Enter losses in revenues as a negative amount Leave colls blank if the cost is not releva If the net effect is an operating loss, enter the amount with parentheses or a minus sign ) is Mana Lopez's statement about the effect of closing the Surrey store conect? Explain Lopez 15 that Rivera Market's operating income would increase if it closes down the Surrey store as shown by the analysis above. Note that by closing down the Surrey store, Rivera Market will save none of the because this is a past cost. Requirement 2. Calculate RMs operating income if it opens another store with revenues and costs identical to those of the Surrey stere (including a cost of 524,000 to acquare equipment with a one-year useful life and zero disposal price) Opening this store will increase corporate overhoad costs by 55,000 is Maria Lopez correct? Explain. (if the net effect is an operating loss, enter the amount with parentheses or a minus sign) Is Mati Loper's statement about the effect of adding another store like the Surtey store correct? Lopesis that Rivera Markot's operating income would if it adds another store like the Surey store as shown by the aralysis above Required Answer the following questions referring to the data provided. 1. Calculate RM's operating income if it closes down the Surrey store. By closing down the store, RM can reduce overall corporate overhead costs by $54,000. Is Maria Lopez correct? Explain. 2. Calculate RM's operating income if it opens another store with revenues and costs identical to those of the Surrey store (including a cost of $24,000 to acquire equipment with a one-year useful life and zero disposal price). Opening this store will increase corporate overhead costs by $5,000. Is Maria Lopez correct? Explain. Store operating income