SA, of Greece makes marine equipment. The company has been expenencegles on its bige product line for several years. The most recent quarterly contribution format income statement for the big puno pot 16. Sales Variable expenses Variable manufacturing expenses Sales comissions Shipping Total variable expenses Contribution margin Fixed expenses Advertising (for the bilge pump product line) 21.00 Depreciation of equipment (no resale value) 100. General factory overhead Salary of product-line manager 123,000 Insurance on inventories 5.00 Purchasing department Total fixed expenses 5 (53,000 Net operating loss *Common costs allocated on the basis of machine-hours. Common costs allocated on the basis of sales dollars. Discontinuing the bilge pump product line would not affect sales of other product lines and would have no effect on the cm total general factory overhead or total Purchasing Department expenses