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Settir Jackie's Snacks sells fudge, caramels, and popcorn. It sold 14,000 units last year. Popcorn outsold fudge by a margin of 2 to 1. Sales

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Settir Jackie's Snacks sells fudge, caramels, and popcorn. It sold 14,000 units last year. Popcorn outsold fudge by a margin of 2 to 1. Sales of caramels were the same as sales of popcorn. Fixed costs for Jackie's Snacks are $12,000. Additional information follows: O A. $1.00 B. $49.00 C. $3.00 Product Fudge Caramels Popcorn UNIT Sales Prices $9.00 $11.00 $9.00 Unit variable LOSI $6.00 $9.00 $5.00 The weighted average contribution marain for the three products of Jackie's O A. $1.00 B. $49.00 C. $3.00 Sales revenue Variable expenses Contribution margin Fixed expenses Total $490,000 364.000 126,000 76 000 Luxury $360,000 235,000 125,000 38 000 Sporty $130,000 129,000 1,000 38.000 O A. Increase in total operating income of $130,000 B. Decrease in total operating income of $1,000 O c. Decrease in total operating income of $126,000 Fixed expenses 76,000 38,000 38,000 Operating income (loss) $50,000 $87,000 $(37,000) Assuming fixed costs remain unchanged, how would discontinuing the Sporty line affect operating income? O A. Increase in total operating income of $130,000 B. Decrease in total operating income of $1,000 OC. Decrease in total operating income of $126,000

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