The Regal Cycle Company manufactures three types of bicyclesa dirt bike, a mountain bike, and a racing bike. Data on sales and expenses for the past quarter follow: Total Dirt Bikes Mountain Bikes Racing Bikes Sales $ 922,000 $ 266,000 $ 400,000 $ 256,000 Variable manufacturing and selling expenses 477,000 116,000 206,000 155,000 Contribution margin 445,000 150,000 194,000 101,000 Fixed expenses: Advertising, traceable 69,900 8,800 40,300 20,800 Depreciation of special equipment 44,200 20,800 8,000 15,400 Salaries of product-line managers 114,300 40,000 38,200 36,100 Allocated common fixed expenses* 184,400 53,200 80,000 51,200 Total fixed expenses 412,800 122,800 166,500 123,500 Net operating income (loss) $ 32,200 $ 27,200 $ 27,500 $ (22,500) *Allocated on the basis of sales dollars. Management is concerned about the continued losses shown by the racing bikes and wants a recommendation as to whether or not the line should be discontinued. The special equipment used to produce racing bikes has no resale value and does not wear out. Required: 1a. What is the impact on net operating income by discontinuing racing bikes? (Decreases should be indicated by a minus sign.)