Accounting

Question 19 10 points Save Answer Your Company produces 5,000 units of Product X each year. Each unit of Product X sells for $8 and has a contribution margin of $5. Fixed costs are $30,000. If Product X is discontinued, $18,000 of fixed overhead would continue. As a result of discontinuing Product X, the company's overall operating income would: decreased by $25,000 @ increase by $13,000 decreased by $13,000 increase by $7,000 decrease by $7,000