ServicePro provides two kinds of services. During the most recent accounting period, the two service lines produced the following operating results:

If the company stops providing Service 2:

The company's income will decrease by $3,500 per year.

The company's income will decrease by $5,500 per year.

The company's income will increase by $3,500 per year.

The company's income will increase by $5,500 per year.

Service revenue Unit-level materials Unit-level labor Product-level selling & administrative costs Company wide facility-level costs Net income (loss) Service 1 Service 2 $140,000 60,000 $ (32,000) (14,000) (42,000) (26,000) $ (22,000) $(16,500) $ (4,000) (4,000) $ 40,000 (500)