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Tampermure Company has three product segments: Prefabrications, Castings, and Forging. Forging seems to be unprofitable and management is considering dropping the segment entirely. Fixed Costs have been separated into Direct and Common. Direct Fixed Costs are correlated to the product line. Common Fixed Costs are facility level actlvities allocated as a percentage of total revenue. Required: Compute the allocation of Common Fixed Costs and Net Operating income for each segment and the total. Tampermure Company's management recommends that Forging be dropped immediately to increase profits. Show what happens to Tampermure Company's income statement if this happens. Hint: Use the original data to fill and compute amounts. Management believes that by dropping Forging, sales of Prefabrications and Casting will decrease. What will the income statement look like if this happens? Hint: Use the original data to fill and compute amounts. To prevent sales of Prefabrications and Casting from decreasing. management proposes launching a marketing campaign to increase the remaining segments' sales, but this will also increase common costs. What will the income statement look like if this happens? Hint: Use the original data to fill and compute amounts. Should Tempermure Company drop Forging? Navigation: 1. Use the Open Excel in New Tab button to launch this question. 2. When finished in Excel, use the Save and Return to Assignment button in the lower right to return to Connect. Tampermure Company has three product segments: Prefabrications, Castings, and Forging, Forting seems to be -unprofizbie and marustment ls considering dropping the segment entliely. Fixed Costs have been separated into Oirect and Common, Direct Fixed Costs are correlated to the product line. Common Fixed Costs are facility level activities allocated as a percentage of total revenue. Required: Compute the allocation of Common fared Coss and Net Operating income for exch segment and the total. Tampermire Company's munagement recommends that forging be dropped immediately to increase profits. Show What happens to Tampermure Comparr's income statement if this happens. Hint: Use the original data to fill and compute amol Manageneht believes that by dreppins Forgine sales of Prefabricasions and Castine wili decrease. What will the income statement look likn if thit hapeens? Graded Worksheet Hint: Use the original data to fill and compute amounts. To prevert sales of Prefabrications and Casting from decreasine, managernent proposes launching a marheting campaign to increave the remaining segments' sales, but this will also increase common costs; What will the income satement toox this if tha happens? Hint: Use the original data to fill and compute amounts