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The following income statement is for X Company's two products, A and B: Product A Product B Revenue $91,000 $85,000 Total variable costs 50,960 45,050

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

Product A Product B
Revenue $91,000 $85,000
Total variable costs 50,960 45,050
Total contribution margin $40,040 $39,950
Total fixed costs
Avoidable 15,406 28,901
Unavoidable 12,104 25,629
Profit $12,530 $-14,580

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 $28,100, with $5,000 of additional fixed costs, what will be the effect on firm profits?

A: $-2,886 B: $-3,261 C: $-3,685 D: $-4,164 E: $-4,706 F: $-5,317

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