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Multiple Choice Question 88 Swifty Machines has four product lines, one of which reecE the following results: Sales $228000 Variable expenses 127000 Contribution margin W Fixed expenses 127000 Net loss $(26000) If this product line is eliminated, 40% of the xed expenses can be eliminated and the other 60% will be allocated to other product lines. If management decides to eliminate this product line, what will happen to the company's net income? 0 It will increase by $26000. 0 It will decrease by $50200. 0 It will decrease by $24200. 0 It will increase by $50800