The following income statement is for X Company's two products, A and B: Revenue Total...

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The following income statement is for X Company's two products, A and B: Revenue Total variable costs Total contribution margin Total fixed costs Avoidable Product A $92,000 54,280 $37,720 Product B $88,000 52,800 $35,200 Unavoidable 16,354 15,096 $6,270 30,931 27,429 $-23,160 Profit If X Company drops Product B because it shows a loss and is able to use the vacant space to increase sales of Product A by $38,400, with $3,400 of additional fixed costs, what will be the effect on firm profits? A: $3,307 B: $4,134 OC: $5,168 OD: $6,460 OE: $8,075 OF: $10,094

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