The Regal Cycle Company manufactures three types of bicyclesa dirt bike, a mountain bike, and a racing bike. Data on sales and expenses for the past quarter follow: Sales Variable manufacturing and selling expenses Contribution margin Fixed expenses: Advertising, traceable Depreciation of special equipment Salaries of product-line managers Allocated common fixed expenses* Total fixed expenses Net operating income (loss) *Allocated on the basis of sales dollars. Total Dirt Bikes $ 929,000 483,000 $ 268,000 117,000 Mountain Bikes $ 410,000 209,000 Racing Bikes $ 251,000 157,000 446,000 151,000 201,000 94,000 69,800 8,500 40,700 20,600 44,100 20,800 7,300 16,000 116,100 40,200 38,900 37,000 185,800 53,600 82,000 50,200 415,800 123,100 168,900 123,800 $ 30,200 $ 27,900 $ 32,100 $ (29,800) Management is concerned about the continued losses shown by the racing bikes and wants a recommendation as to whether or not the line should be discontinued. The special equipment used to produce racing bikes has no resale value and does not wear out. What is the financial advantage (disadvantage) per quarter of discontinuing the Racing Bikes? Financial advantage (disadvantage) per quarter Prepare a properly formatted segmented income statement that would be more useful to management in assessing the lon profitability of the various product lines. Contribution margin (loss) Traceable fixed expenses: Total traceable fixed expenses Product line segment margin (loss) Net operating income (loss) Totals Dirt Bikes Mountain Bikes Racing Bikes 0 0 0 0 0 0 0 0 0 $ 0 $ 0 $ 0 $ 0