Boots Plus has two product lines: Hiking boots and Fashion boots. Income statement data for the most recent year follow:
Assuming fixed costs remain unchanged, how would discontinuing the Fashion line affect operating income?
A) Increase in total operating income of $29,000
B) Increase in total operating income of $132,000
C) Decrease in total operating income of $78,000
D) Decrease in total operating income of $20,000
Correct Answer:
Verified
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