5. 3.50 points Required information E7-7 Analyzing Keep-or-Drop Decision [LO 7-2,7-5 MSI is considering eliminating a product from its Toddie Town Tours collection. This collection is aimed at children one to three years of age and includes "Yours" of a hypothetical town. Two products, The Pet Store Parade and The Grocery Gelaway, have impressive sales. However, sales for the third CD in the collechion, Thse Post Office Poka, have lagped the others. Several other CDs are planned for this collection, but none is ready for production MSI's information related to the Todde Town Tours collection folows Todde Town Tours Product Lines Pet Store Grocery Ofice Parade Getaway Poka Total 69,000 68.000 $ 4,000 $141.000 6100 $ 60700 900 $123,000 29,000 1 Variable costs Loss: Direct Fixed cosh 127.000 Segment margin $ 54 750. $ 1,650) Less Common fixed costs Net operating income (oss) Allocated based on total sales MSI has determined that elimination of the Post Office Polka (POP) program would not impact sales of the other two items. The remaining fed overhead cuenly alocaed to the POP producl would be redistributed to the remaining two products Required 1. Calculate the incremental offect on profit if the POP product is eliminated 8 Tab