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Ring, Incorporated's income statement for the most recent month is given below. For each of the following questions, refer back to the original data. A

Ring, Incorporated's income statement for the most recent month is given below. For each of the following questions, refer back to the original data. A proposal has been made that will lower variable costs in Store P to 65% of sales. However, this reduction can only be accomplished by a $16,000 increase in Store P's traceable fixed costs. If this proposal is implemented and sales remain constant, overall company net operating income should: A) remain the same B) decrease by $2,000 C) increase by $2,000 D) increase by $14,000

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