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TB MC Qu. 14-59 Omar Industries manufactures two products... Omar Industries manufactures two products: Regular and Super. The results of operations for 201 follow. Fixed

image text in transcribed TB MC Qu. 14-59 Omar Industries manufactures two products... Omar Industries manufactures two products: Regular and Super. The results of operations for 201 follow. Fixed manufacturing costs included in cost of goods sold amount to $5 per unit for Regular and $30 per unit for Super. Variable selling expenses are $6 per unit for Regular and $30 per unit for Super; remaining selling amounts are fixed. Omar Industries wants to drop the Regular product line. If the line is dropped, company-wide fixed manufacturing costs would fall by 10% because there is no alternative use of the facilities. What would be the impact on operating income if Regular is discontinued

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