Gg.38. Hong Publishing has purchased Lang Publishing. After reviewing titles from both companies, a decision must be made to determine what titles must be dropped. The following information is available to make the decision.Title ZTitle Y$149,00075,000$74,00031,00016,000$27,000SalesVariable CostContribution MarginDirect Fixed CostAllocated Common Fixed CostNet IncomeTitle X$99,00051,000$48,00020,0009,000$19,000A. What is the total income if all titles were produced?$200,000101,000$99,00039,00019,000$41,000B. If Title X was dropped, what would be the effect on Net Income?C. How much did Title X Contribute to Fixed Costs?D. Determine the cost and the amount that will remain even if Title X is dropped.E. Which costs and amount will be eliminated if Title X is dropped?

There are three lang publishing and the company is deciding to drop one of the titles so that the…

A. What is the total income if all titles were produced? B. If Title X was dropped, what would be the effect on Net Income? C. How much did Title X Contribute to Fixed Costs? D. Determine the cost and the amount that will remain even if Title X is dropped. E. Which costs and amount will be eliminated if Title X is dropped?