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Top managers of Movies are Bost are alarmed by their operating losses. They are considering dropping the DVD product line. Company accountants have prepared the

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Top managers of Movies are Bost are alarmed by their operating losses. They are considering dropping the DVD product line. Company accountants have prepared the following analysis to help make this decision (Click the icon to view the analysis) Totalfixed costs will not change if the company stops selling DVDs Read the requirements Requirement 1. Prepare a differential analysis to show whether Movies are Best should drop the DVD product line Begin by preparing a differential analysis to show whether Movies are Best should drop the DVDs product line. (Enter decreases to profits wth a parentheses or minus sign) Expected decrease in revenues-Dropping DVDs Expected decrease in costs-Dropping DVDs Expected in operating income i Data Table .X he following alarmed by their operating .) ompany stops selling Dvd DVD analysis to show whether is to show whether Movie ping DVDs DVDs Discs s sign.) Movies are Best Income Statement For the Year Ended December 31, 2018 Blu-ray Total Discs Net Sales Revenue $ 433,000 $ 305,000 $ Variable Costs 246,000 152,000 Contribution Margin 187,000 153,000 Fixed Costs: Manufacturing 131,000 75,000 Selling and Administrative 76,000 57,000 Total Fier Evanese 207,000 132,000 128,000 94,000 come 34,000 56,000 19,000 75,000 mber in the input fields & Print Done CleanAL Ps |Dw 9 99+ - X - Data Table by their operating the following analysis to TCUTE OUTFIT y stops selling Dvd DVD Discs Sto show whether 128,000 94,000 s sign.) now whether Movie VDs 34.000 For the Year Ended December 31, 2018 Blu-ray Total Discs Net Sales Revenue $ 433,000 $ 305,000 $ Variable Costs 246,000 152,000 Contribution Margin 187.000 153,000 Fixed Costs: Manufacturing 131,000 15,000 76,000 57,000 Selling and Administrative 207,000 132,000 Total Fixed Expenses $ (20,000) $ 21,000 $ Operating Income (Loss) 56,000 19,000 75,000 (41,000) the input fields al Print Done Crear AW

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