Damond Corporation's three profit centers had the following operating data during 2000 :

\begin{tabular}{|c|c|c|c|}

\hline & North & East & West \\

\hline Revenue (at $\$ 10$ per unit) & $\$ 100,000$ & $\$ 150,000$ & $\$ 200,000$ \\

\hline \multicolumn{4}{|l|}{ Fixed costs: } \\

\hline Costs unique to the division & 30,000 & 61,000 & 70,000 \\

\hline Costs allocated by corporate headquarters & 20,000 & 30,000 & 40,000 \\

\hline Variable costs per unit . . . . . . . . . . . . . . . . . . . . & 6 & 6 & 4 \\

\hline

\end{tabular}

Damond's management is concerned because the company is losing money. They ask you to:

1. Calculate each profit center's contribution and segment margins and overall company profits.

2. Determine, on the basis of these calculations, which center(s), if any, should be discontinued. (Assume that the 2000 performance is indicative of all future years. Ignore all nonfinancial factors.)