Kicks Plus has two product lines: Hiking boots and Fashion boots. Income statement data for the most recent year follow: Total Hiking Fashion Sales revenue $480,000 $340,000 $140,000 Variable expenses 355.000 235,000 120,000 Contribution margin 125,000 105,000 20,000 Fixed expenses 76.000 38,000 38.000 Operating income (loss) $49.000 $67,000 ($18,000) Assuming fixed costs remain unchanged, how would discontinuing the Fashion line affect operating income? Increase in total operating income of $18,000 Decrease in total operating income of $20,000 Increase in total operating income of $29.000 Decrease in total operating income of $140,000 KT Appliances manufactures two products: Food Processors and Espresso Machines. The following data are available: Food Processors Espresso Makers Sales price $125 $265 Variable costs $50 $170 The company can manufacture two food processors per machine hour and three espresso machines per machine hour. The company's production capacity is 1400 machine hours per month The company believes there is demand for 2,400 espresso machines and 2,000 food processors per month. How many espresso machines and food processors should they produce based on demand and available machine hours? 2400 espresso machines and food processors 2400 espresso machines and 1200 food processors 2400 espresso machines and 600 food processors 4200 espresso machines and food processors