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Suire Corporation is considering dropping product D14E. Data from the company's accounting system appear below: Sales $ 750,000 Variable expenses $ 346,000 Fixed manufacturing expenses
Suire Corporation is considering dropping product D14E. Data from the company's accounting system appear below: Sales $ 750,000 Variable expenses $ 346,000 Fixed manufacturing expenses $ 258,000 Fixed selling and administrative expenses $ 206,000 All fixed expenses of the company are fully allocated to products in the company's accounting system. Further investigation has revealed that $200,000 of the fixed manufacturing expenses and $115,000 of the fixed selling and administrative expenses are avoidable if product D14E is discontinued. Required: According to the company's accounting system, what is the net operating income earned by product D14E
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