The Cook Corporation has two divisions--East and West. The divisions have the following revenues and expenses:

	East			West
Sales	$	595,000		$	445,500
Variable costs		180,000			236,500
Traceable fixed costs		144,000			203,400
Allocated common corporate costs		129,600			187,000
Net operating income (loss)	$	141,400		$	(181,400	)

The management of Cook is considering the elimination of the West Division. If the West Division were eliminated, its traceable fixed costs could be avoided. Total common corporate costs would be unaffected by this decision. Given these data, the elimination of the West Division would result in an overall company net operating income (loss) of:

Multiple Choice

• $141,400

• $(45,600)

• $(181,400)

• $(40,000)