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QUESTION 44 Wood Abel Company produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows: Aluminum Hard Rubber Total Sales 500,000 200,000 65,000 765,000 Variable expenses 325,000 140.000 58.000 523,000 Contribution margin 175,000 60,000 7,000 242,000 Fixed expenses 75.000 35,000 22,000 132.000 Net income (loss) 100,000 25.000 (15.000) 110.000 Assume all of the fixed expenses for the hard rubber line are avoidable. What will be total net income if the line is dropped? 125,000 103,000 105,000 O 140,000 QUESTION 43 Abel Company produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows: Wood Aluminum Hard Rubber Total Sales 500,000 200,000 65,000 765,000 Variable expenses 325.000 140,000 58.000 523,000 Contribution margin 175,000 60,000 7,000 242,000 Fixed expenses 75.000 _35.000 22.000 132.000 Net Income (loss) 100.000 25.000 (15.000) 110.000 Assume none of the fixed expenses for the hard rubber line are avoidable. What will be total net income if the line is dropped? 0 125,000 O 103,000 0 105.000 140,000