Suppose Tasty Tart is considering discontinuing itsspecial oats product line. Assume that during the past year, the special oats'

product line income statement showed the following:

If the company decides to discontinue the product line, what will happen to the company's operating income? Should

Tasty Tart discontinue the special oats product line?

Fixed manufacturing overhead costs account for 40% of the cost of goods, while only 30% of the operating expenses are fixed. Since thespecial oats line is just one of the company's cereal operations, only $760,000 of direct fixed costs (the majority of which is advertising) will be eliminated if the product line is discontinued. The remainder of the fixed costs will still be incurred by the company.

Suppose Tasty Tart is considering discontinuing its special oats product line. Assume that during the past special oats' product line income statement showed the following: for additional information.) Data table e company's operating incom ts' product line. (Use a minus Suppose Tasty Tart is considering discontinuing its special oats product line. Assume that during the past year, the special oats' product line income statement showed the following: (Click the icon to view the income statement data.) (Click the icon for additional information.) If the company decides to discontinue the product line, what will happen to the company's operating income? Shov Tasty Tart discontinue the special oats product line? Begin by preparing a contribution margin income statement for the special oats' product line. (Use a minus sign or parentheses to enter a loss.)