Valber Company is considering eliminating its phone division. The company allocates fixed costs based on sales. If the phone division is dropped, $162.000 of the fixed costs allocated to that division could be eliminated. The impact on Volber's operating income from eliminating the phone division would be: Sales Variable costs Contribution margin Fixed costs Net income (loss) Desktops Laptops Tablets $392,000 $907,500 $730,000 213,000 647,000 540,000 179,000 260,500 190,000 83,200 186, 300 150,800 95,800 74,200 39,200 Phones $987,000 807,000 180,000 207,000 (27,000) Multiple Choice $17.000 decrease $162,000 Increase $162,000 decrease $27,000 Increase $18.000 decrease