Veronica Mars, a recent graduate of accounting programevaluated the operating performance of Company's divisionsVeronica made the following presentation to Oriole's board of directors and suggested the Percy Division be eliminated the Percy Division is eliminatedshe saidour total profits would increase by $27.200 The Other Five Divisions Percy DivisionTotal Sales 1,665.000$100,100$ 1,765,100 Cost of goods sold977,40076,900 1,054,300 Gross pront 607,60023.200 710,000 Operating expenses 528,700 50,400579,100 Net income 158,900 27,200)$131,700 the Percy Divisioncost of goods sold is $60,000 variable and $16,900 fixed, and operating expenses are $30,000 variable and $19,600 fixedNone of the Percy Division's fixed costs will be eliminated the division is discontinued Veronica right about eliminating the Percy Division? Prepare a schedule to support your answer(Enter negative amounts negative sign preceding the number eg45 or parentheses (45) Net Income Increase ( Decrease ) ContinueEliminate
Veronica Mars, a recent graduate of accounting programevaluated the operating performance of Company's divisionsVeronica made the following presentation to Oriole's board of directors and suggested the Percy Division be eliminated the Percy Division is eliminatedshe saidour total profits would increase by $27.200 The Other Five Divisions Percy DivisionTotal Sales 1,665.000$100,100$ 1,765,100 Cost of goods sold977,40076,900 1,054,300 Gross pront 607,60023.200 710,000 Operating expenses 528,700 50,400579,100 Net income 158,900 27,200)$131,700 the Percy Divisioncost of goods sold is $60,000 variable and $16,900 fixed, and operating expenses are $30,000 variable and $19,600 fixedNone of the Percy Division's fixed costs will be eliminated the division is discontinued Veronica right about eliminating the Percy Division? Prepare a schedule to support your answer(Enter negative amounts negative sign preceding the number eg45 or parentheses (45) Net Income Increase ( Decrease ) ContinueEliminate
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