PH Bradley Company makes three models of tasers. Information on the three products is given below. Tingler Shocker Stunner Sales $ 300,000 $ 450,000 $ 200,000 Variable expenses $ 150,000 $ 200,000 $ 155,000 Contribution margin $ 150,000 $ 250,000 $ 45,000 Fixed expenses $ 120.000 $ 230.000 $ 95.000 Net income $ 30,000 $ 20,000 (50,000) Fixed expenses consist of $300,000 of common costs allocated to the three products based on relative sales, and additional fixed expenses of $30,000 (Tingler), $80,000 (Shocker), and $35,000 (Stunner). The common costs will be incurred regardless of how many models are produced. The other fixed expenses would be eliminated if a model is phased out. James Waters, an executive with the company, feels the Stunner line should be discontinued to increase the company's net income. Required: 1. Compute current net income for Bradley Company 2. Compute net income by product line and in total for Bradley Company if the company discontinues the Stunner product line. (Hint: Allocate the $300,000 common costs to the two remaining product lines based on their relative sales.) 3. Should Bradley eliminate the Stunner product line? Why or why not