Hamilton, Inc. has two divisions, Parker and Blaine. Following is the income statement for the previous year:

	Parker			Blaine
Sales	$	934,800		$	623,200
Variable Costs		654,440			498,560
Contribution Margin	$	280,360		$	124,640
Fixed Costs		238,860			159,240
Profit Margin	$	41,500		$	(34,600	)

Of the total fixed costs, $390,000 are common fixed costs that are allocated equally between the divisions. What would Hamilton's profit margin be if Blaine were dropped?

Multiple Choice

• $(153,500)

• $(8,100)

• $6,900

• $153,500