Sammy Company is considering eliminating its commercial division. The company allocates fixed costs based on division sales. If the commercial division is dropped, $116,000 of the fixed costs allocated to it could be eliminated. The impact on Sammy's operating income from eliminating the commercial division would be: Sales Variable costs Contribution margin Fixed costs Net income (loss) Garden $675,000 388,900 286,100 263,200 22,900 Farm Commercial $968, 600 $ 740,000 430,000 665,800 538,000 74,200 351,500 311,400 186,500 (237,200) Multiple Choice $41,800 Increase $41.800 decrease $5,200 decrease $18,000 Increase $54,000 Increase