See attached photo

Ken Yalters, the COO of FreshSkin, asked his cost management team for a product line profitability analysis for his firm's two products - Askin and Bskin. The two products are skin care products that require a large 37 amount of research and development and advertising. He received the report below. Ken concluded that Askin was the more profitable product, and that perhaps cost-cutting measures should be applied to the Bskin product. Askin Bskin Total Sales $ 4,000, 000 $ 2,600,000 $ 6,600,000 2 points Cost of goods sold (2, 600, 000) (000'OOT'2) Gross profit $ 1, 400,000 $ 500,000 $ 1,900,000 01:35:54 Research and development (1, 170,000) Selling expenses (000'DET) Profit before taxes $ 600,000 Seventy-five percent of the research and development and selling expenses were traceable to Askin. Profit before taxes for the Askin product, per life-cycle income statements, is: Multiple Choice O $332,500. O $522,500. O $207,500. O $425,000