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Members of the board of directors of Security Check have received the folowing fierating income data for the year ended May 31, 2018: (Click the icon to view the operating income data.) Members of the board are surprised that the Industrial systems product line is not profitable. They commission a study to determine whether the company should drop the line. Company accountants estimate that dropping Industrial systems will decresse fixed cost of goods sold by $30,000 and decrease fixed selling and administrative expenses by $12,000. Read the requiremenils Requirement 1. Prepare a clifferential analysis to show whether Security Check should drop the industrial systems product ine. (Lise cuarentheses or a minus sign to enter decreases to profits. Data Table Security Check Income Statement in operating income For the Year Ended May 31, 2018 Product Line Industrial Household Systems Systeme Total S 380,000 S 380.000 $ 740,000 Nel Sales Revenue Cost of Goods Sold: Variable 37.000 260.000 47.000 63000 84.000 323,000 Fixed 297 000 110,000 407.000 63.000 270.000 333,000 Total Cost of Goods Sold Grose Profit Selling and Administrative Expenses Variable 64.000 73,000 28.000 137,000 70,000 Fixed 44,000 99 000 Total Selling and Administrative Expenses 207,000 108.000 (45,000) S S Operating Income (Loss) 171,000 $ 126,000 Choose from any list or enter any number in the input fields and then click Check

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