the segmented income statement for XYZ Company for the yearended December 31, 2016, follows: XYZ COMPANY Segmented IncomeStatement For the Year Ended December 31, 2016 Total CompanyProduct A Product B Product C Sales $ 592,000 $ 297,000 $ 118,000 $177,000 Variable expenses 273,000 154,000 49,000 70,000Contribution margin $ 319,000 $ 143,000 $ 69,000 $ 107,000 Fixedexpenses 283,000 165,000 47,000 71,000 Operating income $ 36,000 $(22,000 ) $ 22,000 $ 36,000 The company is concerned about theperformance of product A, and you have been asked to analyze thesituation and recommend to the president whether to continue ordiscontinue the product. During your investigation, you discoverthat certain fixed expenses are traceable directly to each productline as indicated here: Total Company Product A Product B Product CDirect fixed expenses $102,000 $74,000 $9,000 $19,000 The remainingfixed expenses are considered to be corporate-wide expenses thathave been allocated to each product line based on sales revenue.Required: What will be the effect of the decision to discontinueproduct A on operating income, assume that product A isdiscontinued. Prepare a segmented income statement for theremaining products. Allocate corporate-wide fixed expenses asdescribed, round intermediate calculations to 2 decimal places,Starting with the segmented income statement, use the informationyou discovered during your investigation to present a moreappropriately designed segmented income statement.