Question: I am having a hard time preparing an incremental analysis concerning the possible discontinuance of division IIDirections is saying answer of negative amount using either

I am having a hard time preparing an incremental analysis concerning the possible discontinuance of division IIDirections is saying answer of negative amount using either a negative sign preceding the number or parenthesesThe analysis has three columns continue eliminate net income increase decrease and under each it has contribution margin cost of goods sold selling and administrative Total fix expenses income loss from operation

I am having a hard time preparing an incremental
Current Attempt in Progress Blossom Company has four operating divisions. During the first quarter of 2022, the company reported aggregate income from operations of $214,200 and the following divisional results. Division - 11 IV Sales $254,000 $199,000 $501,000 $443,000 Cost of goods sold 204,000 189,000 301,000 247,000 Selling and administrative expenses 69,800 60,000 57,000 55,000 Income (loss) from operations $ (19,800) $ (50,000) $143,000 $141,000 Analysis reveals the following percentages of variable costs in each division. IV Cost of goods sold 1% 90 % 82 % 75 % Selling and administrative expenses 39 62 50 58 Discontinuance of any division would save 50% of the fixed costs and expenses for that division. Top management is very concerned about the unprofitable divisions (I and II). Consensus is that one or both of the divisions should be discontinued

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