Fido Company has three segments, one of which is unprofitable. The Duchess Doggy Biscuit segment had the following results last period: Sales Variable expenses Contribution margin Fixed expenses Net loss $1,040,000 (640,000) 400,000 (540,000) $(140,000) If the Duchess Doggy Biscuit segment is eliminated, 50% of the fixed expenses can also be eliminated, the other 50% will be reallocated. What will happen to company net income if this product line is eliminated? O Decrease by $400,000. O Decrease by $130,000. O Increase by $140,000. Increase by $270,000