cullumber is considering two mutually exclusive product line, either an emerald ring or a ruby bracelet which will introduce next year. The board of directors of the company has established a target net income of $15000 for the new product line but wishes to maximize profit in any case. For the emerald ring line, Cullumner expects to sell 200 rings during the year at a selling price per ring of $1320 estimated variable cost are $710 per ring and fixed costs will amount to $90000 for the year. For the ruby bracelet line the company anticipates sales of 500 units at a selling price of 4965 per bracelet. Fixed costs will amount to $110000 for the year and variable cost will also be $710 each. Cullumner will have a tax rate of 30% next year. Which of the following statements is correct? Cullumner should produce and sell rings even though this will result in $7400 shortfall in targeted net income. cullumber should produce and sell rings since rings will generate more net income than bracelets and will exceed targeted net income by$7400. Cullumner should produce and sell bracelets since the income from bracelets will exceed the income from rings and exceed the targeted net income by $27500 cullumber should produce and sell bracelets since the bracelets will generate more net income than the rings and exceed the targeted net income by $7400