The management of Wengel Corporation is considering dropping product B90D. Data from the company's accounting system appear below: Sales $736,400
Variable expenses $382,600
Fixed manufacturing expenses $250,600
Fixed selling and administrative expenses $213,800

All fixed expenses of the company are fully allocated to products in the company's accounting system. Further investigation has revealed that $177,000 of the fixed manufacturing expenses and $153,400 of the fixed selling and administrative expenses are avoidable if product B90D is discontinued.

Required:
What would be the financial advantage (disadvantage) of dropping B90D? Should the product be dropped?

On january 8, the end of the first weekly pay period of the year, regis company's payroll register showed that its employees earned $22,760 of office salaries and $70,840 of sales salaries. withholdings from the employees' salaries include fica social security taxes at the rate of 6.20%, fica medicare taxes at the rate of 1.45%, $13,260 of federal income taxes, $1,450 of medical insurance deductions, and $860 of union dues. no employee earned more than $7,000 in this first pay period. required: 1.1 calculate below the amounts for each of these four taxes of regis company. regis’s merit rating reduces its state unemployment tax rate to 3% of the first $7,000 paid to each employee. the federal unemployment tax rate is 0.60