What would the company's total net operating income (or loss) be if the Alabama division was dropped?

Which of these costs are strictly variable (as opposed to fixed or mixed costs?)

-cost 1 and 4

-costs 1 and 2

-costs 2 and 3

-cost 2 only

Crandall, Inc. has two divisions, Montana and the Alabama. There are no avoidable, direct fixed costs for either division. The following is the income statement for the previous year: Alabama Sales Variable costs Contribution margin Common fixed costs Net operating income Montana $435,000 $220,000 $215,000 $150,000 $65,000 $500,000 $315,000 $185,000 $200,000 ($15,000) Total $935,000 $535,000 $400,000 $350,000 $50,000 Four costs incurred by Chula Vista Farms are summarized below: Cost 1 Cost 2 Cost 3 Cost 4 2,000 units $30,000 $21,000 $16,000 $12,000 4,000 units $30,000 $42,000 $26,000 $20,000