QUESTION 7 A company has two different products that are sold in different markets. Financial data are as follows: Product A Product B Total Revenue $17,000 $9,500 $26,500 Variable cost (8,000) (9,800) (17, 800) Fixed cost (allocated) (3,000) (2 200) (5.200) Operating income (loss) $6000 $ 2,50 0) $3500 Assume that fixed costs of $1,000 could be eliminated if Product B was dropped. Assume furthermore that dropping one product would not impact sales of the other. If Product B is dropped, what would be the Impact on total operating Income of the company? O increases by $2,200 O increases by $1,300 O Increases by $300 O-increases by $1,000