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Dunder-Mifflin Paper Company, Inc. has two divisions, the Scranton Branch and the Utica Branch. The income statement for the past month is below: Scranton Utica

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Dunder-Mifflin Paper Company, Inc. has two divisions, the Scranton Branch and the Utica Branch. The income statement for the past month is below: Scranton Utica Total Sales $680,000 $320,000 $150,000 Variable Costs Contribution Margin Fixed Costs (allocated) $360,000 $280,000 $80,000 $38.000 $42.000 $170,000 $212.000 ($42,000) $430,000 $250,000 $250,000 $0 Profit Margin The allocated fixed costs are common and would not be avoidable. What would the change be in the company's profit if the Utica Division was dropped? decrease by $80,000 decrease by $170,000 increase by $80.000 increase by $42.000

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