Carlton Products Has Three Product Lines: A,B,and C Management Is Considering Dropping Product Line B

Carlton Products has three product lines: A,B,and C.
$\begin{array}{lr}&\underline{\text { A }} &\underline{\text { B }} &\underline{ \text { C }} &\underline{ \text { Total }}\\ \text { Sales } &\$50000&\$550200&\$700000&\$1750000\\ \text { Variable costs } &\underline{280000}&\underline{420000}&\underline{300000}&\underline{1000000}\\ \text {Contribution margin } &220000&130000&400000&750000\\ \text { Fixed costs} &\underline{100000}&\underline{140000}&\underline{150000}&\underline{390000}\\ \text { Net income} &\underline{\$120000}&\underline{\$10000}&\underline{\$(250000) }&\underline{\$360000}\\ \text { } &\\\end{array}$




Management is considering dropping product line B.If it is discontinued,all of its fixed costs can be avoided.The discontinuation of product line B would:

A) decrease net income $10 000.
B) increase net income $140 000.
C) decrease net income $130 000.
D) increase net income $10 000.