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The management of Fannin Corporation is considering dropping product 1585. Data from the company's accounting system appear below Variable expenses Fhed manufacturing expenses Flesting and

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The management of Fannin Corporation is considering dropping product 1585. Data from the company's accounting system appear below Variable expenses Fhed manufacturing expenses Flesting and distrative expenses $ 960000 $ 3000 $361000 $ 21000 In the company's accounting system, a nd expenses of the company are fully liced to products. Further investigation has revealed that $219,000 of the manufacturing expenses and $180.000 of the fixed seling and administrative expenses are avoidable product H5S is discontinued. What would be the ect on the company's overal net operating income product 505 were dropped? O Overal net operating income would decrease by $27.000 O Overal net operating income would increase by $180,000 O Overal net operating income would decrease by $180.000 O Overal net operating income would increase by $27,000

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