Swifty, Inc. has 9500 obsolete calculators, which are carried in inventory at a cost of $19500. If the calculators are scrapped, they can be sold for $1.10 each (for parts). If they are repackaged, at a cost of $14600, they could be sold to toy stores for $2.50 per unit. What alternative should be chosen, and why? Scrap; incremental loss is $9050 Repackage; receive operating income of $9150 Scrap; operating income is $1300 greater Repackage; revenue is $4900 greater than cost OO Sheffield Machines has four product lines, one of which reflects the following results: Sales $225000 Variable costs 127000 Contribution margin 98000 Fixed costs 127000 Net loss $(29000) If this product line is eliminated, 45% of the fixed costs can be eliminated and the other 55% will be allocated to other product lines. If management decides to eliminate this product line, what will happen to the company's net income? It will increase by $29000. It will decrease by $11850. It will increase by $57150. It will decrease by $40850