A study has been conducted to determine if Product A should be dropped. Sales of the product total $$200,000$ per year; variable expenses total $$140,000$ per year. Fixed expenses charged to the product total $$90,000$ per year. The company estimates that $$40,000$ of these fixed expenses will continue even if the product is dropped. These data indicate that if Product $A$ is dropped, the company's overall net operating income would:

A$.$ decrease by $$20,000$ per year

B$.$ increase by $$20,000$ per year

C$.$ decrease by $$10,000$ per year

D$.$ increase by $$30,000$ per year

The management of Heider Corporation is considering dropping product J$14$V$.$ Data from the company's accounting system appear below:

Sales.

Variable expenses

Fixed manufacturing expenses.

$$920,000$

$$377,000$

$$359,000$

$$239,000$

Fixed selling and administrative expenses.

In the company's accounting system all fixed expenses of the company are fully allocated to products. Further investigation has revealed that $$211,000$ of the fixed manufacturing expenses and $$172,000$ of the fixed selling and administrative expenses are avoidable if product $J14V$ is discontinued. What would be the effect on the company's overall net operating income if product $J,$ Overall net operat $$55,000.$

B$.$ Overall net operating income would increase by $$160,000.$

C$.$ Overall net operating income would increase by $$55,000.$

$-$D$.$ Overall net operating income would decrease by $$160,000.$

$****$Answer $6$ and $7$ and show work to get numbers please$*******$