-13 E Question List X View Policies Current Attempt in Progress Question 1 3/3 Accounting Dropdown / Correct Cawley Company makes three models of tasers. Information on the three products is given below. Question 2 3/3 Tingler Shocker Stunner Accounting Multistep Correct Sales $ 302,000 $ 498,000 $ 200,000 Question 3 3/3 Accounting Dropdown Correct Variable 150,900 193,100 137,700 Contribution margin 151,100 304,900 62,300 Viewing Question 4 -13 Accounting Dropdown Unsubmitted work Fixed expenses 121,412 232,988 96,200 Net income $ 29,688 $ 71,912 $( 33,900) Question 5 3/3 Accounting Multistep Correct Fixed expenses consist of $ 306,000 of common costs allocated to the three products based on relative sales, as well as direct fixed expenses unique to each model of $ 29,000 (Tingler), $ 80,600 (Shocker), and $ 35,000 (Stunner). The common costs will be incurred regardless of how many models are produced. The direct fixed expenses would be eliminated if that model is phased out. James Watt, an executive with the company, feels the Stunner line should be discontinued to increase the company's net income. (a) Compute current net income for Cawley Company. Net income $ 67700 education.wiley.com Mi Inbox (1,607) - annaxgon.. C ThreePoint Sports Inc. M. W Chapter 20 Homework WP NWP Assessment Player... ECON - Georgia Souther. O XIIAMAIA_ 07# -... - Chapter 20 Homework Question 4 of 5 > -13 E Question List X Question 1 3/3 ( b) Accounting Dropdown / Correct Compute net income by product line and in total for Cawley Company if the company discontinues the Stunner product line. (Hint: Question 2 3/3 Allocate the $ 306,000 common costs to the two remaining product lines based on their relative sales.) Accounting Multistep Correct Tingler Net Income $ Question 3 3/3 Accounting Dropdown Correct Shocker Net Income $ Viewing Question 4 -13 Accounting Dropdown Unsubmitted work Total Net Income $ Question 5 3/3 Accounting Multistep Correct (c) Should Cawley eliminate the Stunner product line? Why or why not? Net income would * from $ to $ eTextbook and Media