Sandhill Company has four operating divisions. During the first quarter of 2022, the company reported aggregate income from operations of $216,600 and the following divisional results. Division II III IV Sales $250,000 $198,000 $499,000 $447,000 Cost of goods sold 195,000 195,000 298,000 250,000 Selling and administrative expenses 70,400 63,000 57,000 49,000 Income (loss) from operations $ (15,400) $ (60,000) $144,000 $148,000 Analysis reveals the following percentages of variable costs in each division. 111 IV Cost of goods sold 74 % 92 % 78 % 73 % Selling and administrative expenses 37 57 51 59