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Rock Inc. has three divisions, Granite, Lime and Nina. All fixed costs are unavoidable Following is the income statement for the previous year:

	Granite		Lime		Nina		Total
Sales	$	501,000	$	272,000	$	225,000	$	998,000
Variable Costs		192,000		124,900		100,700		417,600
Contribution Margin		309,000		147,100		124,300		580,400
Fixed Costs (allocated)		273,000		158,250		115,750		547,000
Profit Margin		36,000		(11,150)		8,550		33,400

a.	What would Rocks profit margin be if the Lime division was dropped?

b.	What would Rocks profit margin be if the Nina division was dropped?
	Blossom, Inc. prepared the following master budget items for July: Production and sales 30,000 units Variable manufacturing costs: Direct materials $ 30,000 Direct labor $ 72,000 Variable manufacturing overhead $ 75,000 Fixed manufacturing costs $ 160,000 Total manufacturing costs $ 337,000 During July, Blossom actually sold 36,000 units. Prepare a flexible budget for Blossom based on actual sales. (Do not round your intermediate calculations.) Production and Sales Units Variable Manufacturing Costs: Direct Materials Direct Labor Variable Manufacturing Overhead Fixed Manufacturing Costs Total Manufacturing Costs Please explain the answers, I'm lost on how to do this part.

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