The condensed income statement for a business for the past year is as follows:

Product T Product U

Sales $500,000 $750,000

Less variable costs 400,000 550,000

Contribution margin 100,000 200,000

Less fixed costs 135,000 120,000

Income (loss) from operations $(35,000) $ 80,000

Management is considering discontinuing the manufacture and sale of Product T starting at the beginning of the current year. Discontinuing T will have no effect on total fixed costs or on the sales and expenses of Product U. What is the amount of change in net income for the current year that will result from discontinuing Product T?

Group of answer choices

$35,000 decrease

$35,000 increase

$100,000 decrease

$100,000 increase