Please answer in full showing excel computations.

The following information pertains to Utility Products Inc.: Brooms Mops Total Sales $600,000 $400,000 $1,000,000 Variable Costs 420,000 180,000 600,000 Contribution Margin $180,000 $220,000 $400,000 Less Direct fixed costs 50,000 150,000 200,000 Segment margin $130,000 $70,000 $200,000 allocated Common Costs 40,000 80,000 120,000 Net Income $90,000 $(10,000) $80,000

1.Since the Mops division is operating at a loss should it be dropped? Why?

2. If the Mops division is dropped what will happen to the profits of Utility Products? Support your answer with computations.