umulative merp Suve & EN Clay Inc. has two divisions, Myrtle and Laurel. Following is the income statement for the previous year: Sales Variable costs Contribution Margin Fixed Costs (allocated) Profit Margin Myrtle Laurel Total $560,600 $336,900 $897,500 176,900 174,700 351,600 383,700 162,200 545,900 284,975 171,425 456,400 $ 98,725 $ (9,225) $ 89,500 What would Clay's profit margin be if the Laurel division was dropped and all fixed costs are unavoidable? Multiple Choice $98,725 profit $89,500 profit $383,700 profit $72,700 loss