Question: Multiple Choice Question Stephens, Inc. is considering dropping a product line. During the prior year, the line had sales of $ 1 7 0 ,

Multiple Choice Question
Stephens, Inc. is considering dropping a product line. During the prior year, the line had sales of $170,000, variable costs of $86,000, and total fixed expenses of $110,000. Of the fixed expenses, $95,000 are avoidable. If Stephens drops the product line, net operating income will Blank______.
Multiple choice question.
increase by $11,000
decrease by $60,000
increase by $9,000
increase by $26,000

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