Requirement 2. Calculate the increase or decrease in operating income if First Rate closes division \\( B \\). Begin by calculating division B's contribution margin. Now, calculate the fixed costs that will be saved by closing division \\( B \\). Finst Rate Corporafion has four oporuting divisions. The budgoted revenues and expenses for each division for 2020 follows: (Click to viow the rosults of each divition.) Closing down any division would result in savings of \70 of the fixod coets of that division. Top manapomont is vory concerned about the unprofitable divisions (A and B) and is considering dosing thern for the yoar: Read the reguimments. Requirament 1. Calculate the increase or decroase in operating income if Finst Rase closes division A. Aegin by calculating Division A's contribution margin. Now, eatculate the fixed costs that will be saved by closing division \\( A \\) Data table Further analysis of costs reveals the following percentages of variable costs in each division: Now, calculate the fixed costs that will be saved by closing division \\( B \\). Requirement 3. What other factors should the top management of First Rate consider before making a decision? A. Management should consider the impact on the morale of the remaining employees if the division(s) are closed. B. Management should consider the role that the divisions' product line plays relative to other product lines. C. Both of the above. D. Neither of the above, management should make this decision relying only on financial data