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Supermart Food Stores (SFS) has experlenced net operating losses in its frozen food products line in the last few periods. Management belleves that the store

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Supermart Food Stores (SFS) has experlenced net operating losses in its frozen food products line in the last few periods. Management belleves that the store can Improve lts proftablity If SFS disconthues frozen foods. The operating results from the most recent perlod are: SFS estimates that store support expenses, In total, are approximately 20% of revenues. The controller says that not every sales dollir requires or uses the same amount of store support activites. A preliminary analysis revesls store support actlvities for these three product ilnes are: The controller estimates actlvity-cost rates for each activity as follows: Required: 1. Prepare a product-line profitability report for SFS under the current costing system. 2. Prepare a product-line profltablity report for SFS using the ABC information the controller provides. Complete this question by entering your answers in the tabs below. Prepare a product-line profitability report for SFS under the current costing system. (loss amounts should be indicated by a minus sign. Alound operating mergin (loss) to 2 decimal places (lie. 2134 should be entered as 21.340 ).) Supermart Food Stores (SFS) has experienced net operating losses in its trozen food products line in the last few periods. Management belleves that the store can Improve its profltability if SFS discontinues frozen foods. The operating resuits from the mos recent perlod are: SFS estimates that store support expenses, In total, are approximately 20% of revenues. The controller says that not every sales dollar requires or uses the same amount of store support actlitles. A prellminary analysis reveals store support activities for these three product lines are: The controller estimates activity-cost rates for each activity as follows: Required: 1. Prepare a product-line profitablilty report for SFS under the current costing system. 2. Prepare a product-llne profitability report for SFS using the ABC information the controller provides. Complete this question by entering your answers in the tabs below. Prepare a product-line profitability report for SFS USMIg the ABC information the controlier provides. (Loss amounts should be indicated by a minus sign. Round operating margin (loss) to 2 decimal places (i.e. 2134 should be entered as 21.34\%6). Round your other answers to nearest whole doliar.)

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