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Pet Food Inc. has two product lines: Cat food and Dog food. Contribution margin income statement data for the most recent year follow: Total Cat Food Dog Food Sales revenue $425,000 $340,000 $85,000 Variable expenses $64,000 $24,000 $40,000 Contribution margin $361,000 $316,000 $45,000 Fixed expenses $97,000 $45,000 $52,000 Operating income (loss) $264,000 $271,000 $(7,000) Assuming the Dog food is discontinued, total fixed costs remain unchanged, and the space formerly used to produce the line is rented for $23,000 per year, how will operating income be affected? O A. Decrease $22,000 O B. Increase $506,000 O C. Increase $242,000 O D. Increase $22,000