The following data were taken from Comia Company. Based on these data, the management of Comia is considering to eliminate product line B. They assumed that by operating only product line A and C, the company will have higher profits.

	Product A	Product B	Product C
Sales	100,000	200,000	300,000
Cost of Sales
Materials	25,000	80,000	75,000
Labor	20,000	50,000	40,000
Variable overhead	10,000	15,000	20,000
Fixed overhead	5,000	35,000	15,000
Total	60,000	180,000	150,000
Gross Margin	40,000	20,000	150,000
Selling and Administrative
Variable	12,000	10,000	30,000
Fixed	8,000	30,000	40,000
Total	20,000	40,000	70,000
Net Income (Loss)	20,000	(20,000)	80,000

It was determined that if product line B is discontinued, 60% of the fixed overhead can be avoided and 50% of fixed selling and administrative expenses can also be avoided.

Required:

Based on the above data, should product line B be eliminated? Why or why not? Show your solution.