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The following income statement is for X Company's two products, A and B: Product A Product B Revenue $94,000 $89,000 Total variable costs 54,520 53,400

The following income statement is for X Company's two products, A and B:

Product A Product B
Revenue $94,000 $89,000
Total variable costs 54,520 53,400
Total contribution margin $39,480 $35,600
Total fixed costs
Avoidable 17,976 33,270
Unavoidable 11,984 26,140
Profit $9,520 $-23,810

If X Company drops Product B because it shows a loss and is able to use the vacant space to increase sales of Product A by $31,900, with $3,800 of additional fixed costs, what will be the effect on firm profits?

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