Valley Incorporated has three divisions, Almond, Grover and Oak. The following is the contribution margin income statement for the previous year:

	Almond	Grover	Oak	Total
Sales revenue	$ 500,000	$ 275,000	$ 225,000	$ 1,000,000
Variable costs	175,000	125,000	100,000	400,000
Contribution margin	$ 325,000	$ 150,000	$ 125,000	$ 600,000
Fixed costs	275,000	151,250	123,750	550,000
Net operating income (loss)	$ 50,000	$(1,250)	$ 1,250	$ 50,000

Of the fixed costs, $300,000 are common costs that are allocated equally to the three divisions.

Required:

1.How much does Grover Division have in direct fixed costs?

2.What is Grover Division's segment margin?

3.What would Valley's net income (loss) be if the Grover Division were dropped?