View Policies Current Attempt in Progress 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 $26,200." The Other Five Divisions Percy Division Total Sales Cost of goods sold . Gross profit $1,663,000 $100,100 978,600 76,800 684,400 23,300 526,000 49,500 $158,400 $ (26,200) $1,763,100 1,055,400 707,700 575,500 $132,200 Operating expenses . Net income In the Percy Division, cost of goods sold is $59.300 variable and $17.500 fixed, and operating expenses are $31.400 variable and $18.100 fixed. None of the Percy Division's fixed costs will be eliminated if the division is discontinued. Is Veronica right about eliminating the Percy Division? Prepare a schedule to support your answer. (Enter negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (451) Net Income Increase BOV PM 10/20/2019 U ND 4.4 or parenteses 3-451 Net Income Increase (Decrease) Continue Eliminate Sales Variable costs Cost of goods sold Operating expenses Total variable Contribution margin Fixed costs Cost of goods sold Operating expenses Total fixed Net income (loss) Veronica is 9000 101 oe @