Exercise 8-18 (Part Level Submission) Ivanhoe, Inc. operates three divisions, Weak, Average, and Strong. As it turns out, the Weak division has the lowest operating income, and the president wants to close it. "Survival of the fittest, I say!" was his response when the Weak division's manager insisted that his division carned money far the company. Fallawing is the mast recent financial analysis for each divisian Weak Average Strong $127,500 $346,400 $545,900 54,900 194,90 307,100 Contribution margin 72,600 151,5d 238,800 39,800 80,000 112,100 57,200 Operating n $(24,40a) $14,300 $69,500 Sales revenue Variable expenses Direct expenses expenses 57,200 57,200 Yaur answer is carrect. Prepare a revised income statement showing the segment margin for each divisian Weak Average Strong 127 Sales 5459 Variable expense 549 30710 15 Direct expense Segment margin Allocated expense Operating income 1121D 231 32 71 1267 2310 1716 LINK TO TEXT LINK TO VIDEO Attempts: 2 of 4 used By how much would total income change if the Weak division were dropped? Total income wil