Sammy Company is considering eliminating its Commercial division. The company allocates fixed costs based on division sales. If the Commercial division is dropped, all of its variable costs are avoidable, and $110,000 of its fixed costs are avoidable. The impact on Sammy's operating Income from eliminating the commercial division would be: Sales Variable costs Contribution margin Fixed costs Net income (loss) Multiple Choice $8.200 $15,000 in $47,800 $5,000 $47,800 Garden $ 688,000 382,900 Farm $ 950,000 424,000 Commercial $ 722,000 659,800 385,100 526,000 62,200 257,200 345,500 290,480 47,900 180,500 (228,200)