Use the following information to answer questions 17 - 18: Dexter Products, Inc, manufactures and sells a number of items, including an overnight case. The company has been experiencing losses on the overnight case for some time, as shown on the following income statement. $450,000 $200.000 $250,000 Sales Less variable expenses: Variable manufacturing expenses $140,000 Sales commissions $ 48,000 Shipping $ 12.000 Total variable expenses Contribution margin Less fixed expenses: Salary of product line manager $55,000 General factory overhead $74,000* Depreciation of equipment (no resale value) $36,000 Advertising $95,000 Insurance on inventories $30,000 Purchasing department expenses $70,000 Total fixed expenses Net operating loss $360,000 $(110,000) * Allocated on the basis of machine-hours Allocated on the basis of sales dollars Discontinuing the overight cases would not affect sales of other product lines and would have no noticeable effect on the company's general factory overhead or total purchasing department expenses. 17. Which of the following fixed expenses would continue even if the overnight cases product line is discontinued? a. Salary of product line manager. b. Advertising. c. Insurance on inventories. d. Purchasing department expenses. e. None of the above as all expenses would be eliminated if the product line is discontinued. 18. If the company were to discontinue the overight cases product line, what would be the net advantage (ie, increase to net operating income) or net disadvantage (ie, decrease to net operating income)? (Indicate advantage/disadvantage and a dollar amount)