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Waterway Industries produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows: Wood Aluminum

Waterway Industries produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows:

Wood Aluminum Hard Rubber Total
Sales $650000 $340000 $65000 $1055000
Variable expenses 395000 280000 58000 733000
Contribution margin 255000 60000 7000 322000
Fixed expenses 75000 35000 22000 132000
Net income (loss)

$180000

$ 25000

$(15000)

$190000

Assume none of the fixed expenses for the hard rubber line are avoidable. What will be total net income if the line is dropped?

$280000

$35000

$183000

$205000

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