Based on the segment income statement below, Chips, Incorporated is considering eliminating its Barbecue Division line.

Revenue from Barbecue Division sales$ $538,000$Salaries for Barbecue Division workers$(138,000)$Direct material$(357,000)$Sunk costs $($equipment depreciation$)(84,500)$Allocated company$-$wide facility$-$sustaining costs$(69,000)$Net loss$ $(110,500)$

If Barbecue Division were eliminated, profitability would:

Multiple Choice

increase $$15,500.$

decrease $$43,000.$

increase $$553,500.$

decrease $$15,500.$