Sales Variable expenses Contribution margin Fixed expenses Net income Tingler Shocker Stunner 304,000 $496,000 $200,000 147,900 192,600 143,100 156,100 118,984 226,016 $37,116 $77,384 $(37,100) 303,400 56,900 94,000 xed expenses consist of $296,000 of common costs allocated to the three products based on relative sales, as well as direct fixed expenses unique to each model of $29,000 (Tingler),$79,200 (Shocker and $34,800 (Stunner). The costs will be incurred regardless of how many models are produced. The direct fixed would be if that model is phased out James Watt, an executive with the company, feels the Stunner line should be discontinued to increase the company's net income. Compute current net income for Wildhorse Company. Net income Compute net income by product line and in total for Wildhorse Company if the company discontinues the Stunner product line. (Hint: Allocate the $296,000 common costs to the two remaining product lines based on their relative sales.) Tingler Net Income Shocker Net Income Total Net Income Should Wildhorse eliminate the Stunner product line? Why or why not? Net income would from $ to $