M7-7 (Algo) Analyzing Keep-or-Drop Decision [LO 7-2, 7-5] Blowing Sand Company produces the Drafty model fan, which currently has a net loss of $60,000 as follows: Drafty Model Sales revenue $340,000 Leist Variable costs 238.000 Contribution margin $102,000 Less Direct fixed costs 88.000 Segment margin $ 14,000 Loot Common fixed conta 74,000 Net operating income (100) $160,000) Eliminating the Drafty product line would eliminate $88,000 of direct fixed costs. The $74,000 of common fixed costs would be redistributed to Blowing Sand's remaining product lines. Will Blowing Sand's net operating income increase or decrease if the Drafty model is eliminated? By how much? Total Profit by