Problem 425% of the points Shock is considering eliminating a product. The small and medium have good sales. However, sales for the large model have been decreasing lately. Shock's information is shown below. *Allocated based on total sales revenue Shock has determined that eliminating the large model would cause sales of the small and medium models to increase by 15 percent and 20 percent, respectively. Variable costs for these two models would increase proportionately. Although the direct fixed costs could be eliminated, the common fixed costs are unavoidable. The common fixed costs would be redistributed to the remaining two products. Required: 1-a. Compute the effect of the change, assuming Shock drops the large line. 1-b. Will Shock's net operating income increase or decrease if the large model is eliminated? By how much