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Question 4 Blossom, Inc. operates three divisions, Weak, Average, and Strong. As it tums out, the Weak division has the lowest operating income, and the president wants to dose it. "Survival of the fittest, I say!" was his response when the Weak division's manager insisted that his division earned money for the company. Following is the most recent financial analysis for each division: Weak Average Strong S340,300 $543,900 Sales revenue S127,800 variable expenses 57,300 190.200 307 400 70,500 150,100 236,500 Contribution margin AlloratPses 58.000 58.000 58.000 es $(22.9007 $21.200 $64,800 Operating income (a) Your answer is corect.. Prepare a revised income statement showing the segment margin for each division. Weak Total Average Strong Sales 340300 543900 1012000 127800 variable expense 57300 190200 307400 554900 457100 Contribution margin 150100 70500 236500 Direct expense 35400 70900 113700 220000 Segment margin 35100 79200 122800 237100 Allocated expense 174000 63100 Operating income Click if you would like to Show Work for this question Open Show Work (b) Your answer is correct. yhow much would total income change if the Weak division were dropped? 3510 Total income will decreasew Click if you would like to Show Work for this question: Open Show Work SHOW soLUTON SHOW ANSWER LINK TO TEXT LTNK TO VIDEO Attempts: 2 of 3 used (c) Your answer is partially correct. Try again Based on the way allocated expenses are divided among the divisions, what do you think will happen to the Average division If the company continues prepare financial statements in this way, assuming Weak was dropped? 35100 loss 2900will be allocated to Average, resulting in a $ for the division as currently reported Weak is dropped, then Click if you would like to show Work for this question: Open Show Work LTNK TO TEXT UNK TO VID