Help Save & Ext Sub Sammy Company is considering eliminating its commercial division. The company allocates fixed costs based on division sales. If the commercial division is dropped, 120,000 of the fixed costs allocated to it could be eliminated. The impact on Sammy's operating income from eliminating the commercial division would be Farm Sales Variable costs Contribution margin Fixed costs Net income (loss) Garden $683,000 392,900 290,100 267,200 22,900 $980,000 434,000 546,000 355,500 190, 500 Commercial $ 752,800 669,800 82,200 325,400 (243,200) Multiple Choice $10.000 increase $37.800 increase $37.800 decrease $30,000 Increase O $3,200 decrease