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 $9500 $26,500 Variable cost (8,0 00) (9,800) (17, 800) Fixed cost (allocated) (3.000) (2,200) (5,200) Operating Income (loss) $6 000 $(2 500 $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