Exercise 7-16 (Video) Cawley Company makes three models of tasers. Information on the three products is given below. Tingler Shocker Stunner Sales $304,000 $496,000 $200,000 Variable expenses 149,800 193,300 139,400 Contribution margin 154,200 302,700 60,600 Fixed expenses 119,984 226,816 93,200 Net Income $34,216 $75,884 $(32,600) Fixed expenses consist of $296,000 of common costs allocated to the three products based on relative sales, as well as direct foed expenses unique to each model of $30,000 (Tingler), $80,000 (Shocker), and $34,000 (Stunner). The common costs will be incurred regardless of how many models are produced. The direct fixed expenses would be eliminated if that model is phased out James Watt, an executive with the company, feels the stunner line should be discontinued to increase the company's net income. Compute current net income for Cawley Company Net Income $ Compute net income by product line and in total for Cawley Company if the company discontinues the stunner product line. (Hint: Allocate the $296,000 common costs to the two remaining product lines based on their relative sales.) Tingler Net Income Compute net income by product line and in total for Cawley Company of the company discontinues the stunner product line (int: Allocate the $296,000 common costs to the two remaining product lines based on their relative ales.) Tingler Net Income $ Shocker Net Income $ Total Net Income Should Cawley eliminate the stunner product line? Why or why not? tos from Net Income would Click if you would like to Show Work for this question Open Show Work