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4 Blowing Sand Company produces the Drafty model fan, which currently has a net loss of $43,000 as follows: 0 onts Sales revenue Lessi Variable

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4 Blowing Sand Company produces the Drafty model fan, which currently has a net loss of $43,000 as follows: 0 onts Sales revenue Lessi Variable costs Contribution margin Less: Direct fixed costs Segment margin Less Common fixed costs Net operating income (loss) Drafty Model $150.000 125,00 $ 25,000 18.600 $ 7.000 50,000 56, eBook Print Eliminating the Drafty product line would eliminate $18,000 of direct fixed costs. The $50,000 of common fixed costs would be redistributed to Blowing Sand's remaining product lines Will Blowing Sand's net operating income increase or decrease of the Drafty model is eliminated by how much? References

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