The Regai Cycle Company manufactures three types of bicycles - a dirt bike, a mountain bike, and a racing bike. Data on sales and expenses for the past quarter follow "Allocated on the basis of sales dollars Management is concemed about the continued losses thown by the racing bikes and wants a recommendation as to whether or not the line should be discontinued. The speciat equipment used to produce racing bikes has no resale value and does not wear out: Required: Required What is the financial advantage (disodvantage) per quater of discontinuing the Racing Bikes? 2. Should the production and sale af racing bikes be discontinued? 3. Prepare a properly formatted segmented income statement that would be more useful to management in assessing the long-run profitabitity of the valious product lines