< Managerial Accounting (GACT5113) November 2022 Final Examination There are FOUR (4) questions in this question paper. Answer ALL the questions in the answer booklet provided. (100 Marks) QUESTION 1 Sole Brother Company has two product lines: Hiking boots and Fashion boots. Income statement data for the most recent year follow: Sales revenue Variable expenses Contribution margin Fixed expenses Operating income (loss) CONFIDENTIAL Total $510,000 355,000 155,000 81,000 $74,000 GACT5113-Manag....pdf Hiking $370,000 235,000 135,000 40,500 $94,500 Fashion $140,000 120,000 20,000 40,500 -$20,500 If $30,000 of fixed costs will be eliminated by discontinuing the Fashion line, analyse how its operating income would be affected. Support your answer with explanation.