WP Assessment Player Ul Appli: x To Design Con ley.com/was/ui/v2/assessment-player/index.html?launchid260934e6-3ad2-4c7-963. Bfc3838cfdb/questionyo Question 1 of 2 -/50 Steering Village seils home and office furniture Currently the home product line takes up approadmately 50 percent of the company's retallfloor space. The president of Steering Village is trying to decide whether the company should continue offering office furniture or concentrate on home furniture Below is a product line income statement for the company. If office furnitures dropped, salaries and other direct foed costs can be avoided. In addition, sales of home furniture can increase by 15 percent without affecting direct feed costs Allocated fied costs are assigned based on relative sales Home Furniture $1.425,000 926.250 498.750 Othe Furniture $1.097.250 798.000 299.250 Total $2.522 250 1.724250 798.000 174 563 59.850 174.563 59.850 349 126 119.700 Sales Less cost of goods sold Contribution margin Less direct fixed costs: Salaries Other Less allocated fred costs Rent Insurance Cleaning President's salary Other Net Income/loss 12.880 3.490 4240 80030 6.400 $157.297 10.744 2.899 3.378 57597 5.039 $14.820 23.624 6,389 7.618 137627 11.439 $142 477 Determine whether Steering Village should discontinue the office furniture line and the financial benefit cost of dropping it Net Income without Office Furniture is The company the Home Office Furniture e Textbook and Media O RI hp