Around Furniture manufactures two products: Couches and Beds. The following data are available: 19) Sales price Variable costs $530 $740 $375 The company can manufacture 3 couches per machine hour and 2 bed per machine hour. The company's production capacity is 2800 machine hours per month. To maximize profits, what product and how many units should the company produce in a month? A) 5600 couches and 8400 beds C) 8400 couches B) 8400 couches and 5600 beds D) 5600 beds 20) 20) Boots Plus has two product lines: Hiking boots and Fashion boots. Income statement data for the most recent year follow: Hiking $140,000 17,000 -$21,000 $340,000 Sales revenue 5,000 105,000 38,000 7,000 122,000 Contribution margin Fixed expenses Operating income (loss) $46,000 Assuming fixed costs remain unchanged, how would discontinuing the Fashion line affect operating income? A) Decrease in total operating income of $140,000 B) Decrease in total operating income of $17,000 C) Increase in total operating income of $29,000 D) Increase in total operating income of $122,000