Rock Inc. has three divisions, Granite, Lime and Nina. All fixed costs are unavoidable Following is the inco previous year: Sales Variable Costs Contribution Margin Fixed costs (allocated) Profit Margin Granite $ 591,000 179,000 322,000 257,000 $ 65.000 Lime $274,000 125,000 149.000 152) 250 $ (3,250 Nina $ 227,000 100, 100 126900 1220750 $ 4 150 Total $1 002 000 404 180 597,900 532 000 $ 65,990 55:53 a. What would Rock's profit margin be if the Lime division were dropped? b. What would Rock's profit margin be if the Nina division were dropped