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Gion Company is considering eliminating its windows division, which reported an operating loss for the recent year of $119,000. Division sales for the year were

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Gion Company is considering eliminating its windows division, which reported an operating loss for the recent year of $119,000. Division sales for the year were $1,250,000 and its variable costs were $1,115,000. The fixed costs of the division were $295,000. if the windows division is dropped, 50% of the fixed costs allocated to it could be eliminated. The impact on Glon's operating income from eliminating this business segment would be: Multiple Choice $27.950 decrease $12.500 increase $147.500 decrease $147.500 increase $12,500 decrease

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