Ostrowski and Smith Plastics (0&5) produce three less popular action gures for Marvel's Avengers product line: Ant-Man, Nebula, and Rocket. Based upon expected sales, 0&5 develops the following income statement: Ant Man Nebula Rocket Total Sales value after processing S 500,000 5 450,0!!! 5 350.1130 5 1,300,!!!) Costs incurred AFTER split-off 5 175A!) $ 150,111) 5 100,000 5 425,!!!) Net ptocesslng revenue 5 325,000 5 300,!!!) S 250,000 5 875,000 Joint costs 5 630,000 Expected Net Income $ 195,000 0&5 purchases 160,000 pounds (lbs.) of plastic pellets for $3.00 per lb. In production, each action gure uses the following amounts of Pliable Plastic: Ant-Man = 80,000 lbs., Nebula = 50,000 lbs., and Rocket = 30,000 lbs. The pellets are used to produce the Pliable Plastic used to produce the action gures. Instead of making action gures, 0&5 could instead sell the Pliable Plastic for $5.00 per pound. Compute the change in expected net income if 0&5 produces only products that remain protable after split-off. 0 Income increases $50,000 0 Income increases $65,000 0 Income increases $75,000 0 Income increases $80,000 0 None of the other answers are correct