Williams Products Inc. manufactures and sells a number of items, including school knapsacks. The company has been experiencing losses on the knapsacks for some time, as shown by the contribution format income statement below WILLIAMS PRODUCTS INC. Income Statement-School Knapsacks the Sales Variable expenses: $295,609 Variable manufacturing expenses Sales commissions shipping $82,680 32,450 8,850 Total variable expenses 123,989 Contribution margin Fixed expenses: 171,100 Salary of product-line manager General factory overhead Depreciation of equipment (no resale value) Advertising-traceable Insurance on inventories Purchasing department 11,500 58,900 22,500 54,300 4,900 34,120 Total fixed expenses 186,220 $ (15,120) Operating loss Allocated on the basis of machine-hours Allocated on the basis of sales dollars i Check n Discontinuing the knapsacks would not affect sales of other product lines and would have no noticeable effect on the company's total general factory overhead or total purchasing department ex pute the increase or decrease of net operating income if the Williams Products Inc line is continued or discontinued minus sign) Poslases in Sales, Decreases in Contribution Margin, and Net Losses which should be indicated ty a (Input all Keep School Drop SchoolIcome Knapsack Knapsack Increase or Sales Variable expenses Variable manufacturing expenses Sales commissions Shipping Total variable expenses Contribution margin Fixed expenses Salary of product-line manager General factory overhead Depreciation of equipment Keep School Drop School Knapsack Knapsack ncrease or ecrease Sales Variable expenses: Variable manufacturing expenses Sales commissions Shipping Total variable expenses Contribution margin Fixed expenses Salary of product-line manager General factory overhead Depreciation of equipment Advertising- traceable Insurance on inventories Purchasing department Total fixed expenses Operating loss b. Would you recommend that the Williams Products Inc line be discontinued? O Yes O No