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Sole Sisters Company has two product lines Hiking boots and Fashion boots. Income statement data for the mi Sales revenue Variable expenses Contribution margin Fixed
Sole Sisters Company has two product lines Hiking boots and Fashion boots. Income statement data for the mi Sales revenue Variable expenses Contribution margin Fixed expenses Operating income (loss) Total $480,000 Hiking $340,000 Fashion $140,000 364,000 235,000 129,000 116,000 105,000 11,000 76,000 38,000 38,000 $40,000 $67,000 $(27,000) Assuming fixed costs remain unchanged, how would discontinuing the Fashion line affect operating income? OA. Decrease in total operating income of $11,000 OB. Increase in total operating income of $116,000 OC. Increase in total operating income of $29,000 OD. Decrease in total operating income of $140,000
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