Test: Test 2 Time Remaining: 01:01:24 Subr This Question: 2 pts 23 of 25 (0 complete) This Test: 50 pts p : Vin n: Sma Westfall Watches has two product lines: Luxury watches and Sporty watches. Income statement data for the most recent year follow: Total Luxury Sporty $520,000 $390,000 $130,000 365,000 245,000 120,000 155,000 145,00010,000 78,000 39,000 39,000 Variable expenses Fixed expenses Operating income (loss) $77,000 $106.000 $(29,000) t Journa f $22,000 of fixed costs will be eliminated by discontinuing the Sporty line, how will operating income be affected? O A. Increase $45,000 O B. Increase $12,000 O C. Increase $166,000 O D. Decrease $32,000 Click to select your answer D of Test: Test 2 Time Remaining: 01:01:24 Subr This Question: 2 pts 23 of 25 (0 complete) This Test: 50 pts p : Vin n: Sma Westfall Watches has two product lines: Luxury watches and Sporty watches. Income statement data for the most recent year follow: Total Luxury Sporty $520,000 $390,000 $130,000 365,000 245,000 120,000 155,000 145,00010,000 78,000 39,000 39,000 Variable expenses Fixed expenses Operating income (loss) $77,000 $106.000 $(29,000) t Journa f $22,000 of fixed costs will be eliminated by discontinuing the Sporty line, how will operating income be affected? O A. Increase $45,000 O B. Increase $12,000 O C. Increase $166,000 O D. Decrease $32,000 Click to select your answer D of