value: 2.00 points TB MC Qu. 07-97 The management of Kabanuck Corporation... Kambucha Management Company makes many flavors of this popular drink. But one flavor - The Big Kahuna - isn't doing so well, so they are considering dropping this product. Data from the company's accounting system appear below: Sales Variable expenses Fixed manufacturing expenses Fixed selling and administrative expenses $920,000 $404,000 $516,000 $334,000 All fixed expenses of the company are fully allocated to products in the company's accounting system. Further investigation has revealed that $206,000 of the fixed manufacturing expenses and $117.000 of the fixed selling and administrative expenses are avoidable if product "The Big Kahuna' is discontinued. What would be the effect on the company's overall net operating income if the product "The Big Kahuna' were dropped? O Overall net operating income would increase by $59,000. O Overall net operating income would increase by $193,000. O Overall net operating income would decrease by $193,000. Overall net operating income would decrease by $59,000. References