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The following income statement is for X Company's two products, A and B: Product A Product B Revenue $89,000 $87,000 Total variable costs 49,840 51,330

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

Product A Product B
Revenue $89,000 $87,000
Total variable costs 49,840 51,330
Total contribution margin $39,160 $35,670
Total fixed costs
Avoidable 16,082 28,161
Unavoidable 13,158 23,989
Profit $9,920 $-16,480

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 $28,500, with $3,200 of additional fixed costs, what will be the effect on firm profits?

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