The management of Bernese Company is considering whether one of the department's in its retail stores should be eliminuted. The contribution margin (sales minus variable expenses) in the department is $150,000 per year. Fixed expenses allocated to the departinent are $130,000 per year. It is estimated that $120,000 of these fixed expenses will be eliminated if the departinent is discontinued lin other words, $120,000 of fixed costs are avoidable and $10,000 of fixed costs are unavoidable). Part (a) Which fixed costs, if any, are irrelevant to this decision Part (b) If the department is eliminated, what will be the impac perating income? Fertbolk Question 2 The management of Bemese Compary is considering whether one of the departments in its retal stores should be elininated. The word. $120,000 of foed costs are avoidable and $10,000 of fixed cost are unavoldableh. Part cal Which fired costs, 1 any, are irrelevant to this decision? Part the If the department is eliminated, what will be the impact on the compam/s overal net operating income? Question 3 purts in