Supermart Food Stores $($SFS$)$ has experienced net operating losses in its frozen food products line in the last few periods.

Management believes that the store can improve its profitability if SFS discontinues frozen foods. The operating results from the most

recent period are:

SFS estimates that store support expenses, in total, are approximately $14\%$ of revenues.

The controller says that not every sales dollar requires or uses the same amount of store support activities. A preliminary analysis

reveals store support activities for these three product lines are:

The controller estimates activity$-$cost rates for each activity as follows:

Required:

Prepare a product$-$line profitability report for SFS under the current costing system.

Prepare a product$-$line profitability report for SFS using the ABC information the controller provides.

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