The management of Wengel Corporation is considering dropping product B90D.Data from the company's accounting system appear below: 
All fixed expenses of the company are fully allocated to products in the company's accounting system.Further investigation has revealed that $173,000 of the fixed manufacturing expenses and $150,000 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? Show your work!
Definitions:
Delinquency Letter
A notification sent by a lender to the borrower indicating a missed payment and the start of delinquency.
Collection Agency
An organization tasked with pursuing payments of debts owed by individuals or businesses.
Legal Action
A step initiated in a court of law by an individual or entity to enforce or defend a legal right.
Account Receivable
is money owed to a business by its customers for goods or services provided on credit.
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