Veronica Mars, a recent graduate of Bell's accounting program evaluated the operating performance of Dunn Company's six divisions Veronica made the following presentation to Dunn's board of directors and suggested the Percy Division be eliminated. "If the Percy Division is eliminated," she said, "our total profits would increase by 5 26.100 The Other Five Divisions Percy Division Total Sales S 1.665.000 $ 100,100 $1.765.100 Cost of goods sold 978,300 76.000 1054 300 Gross profit 086,700 24.100 710.800 Operating expenses 526,800 50 200 577,000 Net Income $ 159,900 S/ 26.100 5 133.800 In Percy Division, cost of goods sold is $59.000 variable and S 17.000 Freed, and operating experses are $ 29.100 variable and 21.100 fred. None of the Percy Division's foed costs will be eliminated it the division is discontinued Is Veronica right about eliminating the Percy Division Prepare a schedule to support your answer. Etive amounts reither a negative sin preceding the numberes 45 or parentheseses (451) Net Income Increase Decrease) Continue Eliminate Sales 5 $ $ Variable costs Cost of goods sold Operating expenses Total variable Contribution margin Fooed costs Cost of goods sold Operating expenses Total food Net Income to 5 Veronica