Question 22 P Flag question Not yet answered Marked out of 7.00 The Print Manufacturing Company manufactures Size 1, Size 2, and Size 3 printer ribbons to support the printers it manufactures. The managerial accountant reported the following information: Print Manufacturing Company Ribbon Report Size 3 Size 2 Size 1 $40,000 $110,000 $80,000 Sales $28,000 50,000 562.000 Variable Costs $48,000 $12,000 Contribution margin $30,000 Fixed Costs: $10,000 $18,000 $8,000 Avoidable Costs $11,000 $7.200 $9,000 Unavoidable Costs S(5,200) $19,000 $13,000 Total The managerial accountant at Print Manufacturing noted that the Size 3 printer ribbon reports a loss and the managerial accountant needs to determine if the company should drop the Size 3 printer ribbon. What is the increase or decrease in operating income if the operations manager drops the Size 3 printer ribbon and does not replace it? If the managerial accountant recommends that the organization drop the Size 3 printer ribbon and rent out the space the company uses to store the product at $11,000 per year, is there an increase or a decrease in operating income