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1. Shine Bright Company has three product lines-D, E, and F. The following information is available: Sales Variable costs Contribution margin Fixed expenses Operating income

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1. Shine Bright Company has three product lines-D, E, and F. The following information is available: Sales Variable costs Contribution margin Fixed expenses Operating income (loss) $60,000 36.000 24,000 12.000 $12.000 $38,000 18.000 20,000 15.000 $5.000 $26.000 12.000 14.000 16.000 S(2.000) Shine Bright Company is thinking of dropping product line F because it is reporting an operating loss. Assuming fixed costs are unavoidable, if Shine Bright Company drops product line F and does not replace it, what effect will this have on operating income? Should they drop Product F? **Show your work to support your

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