Use the following information for the next two questions.  …

Use the following information for the next two questions.   Denly Company has three products, A, B, and C. The following information is available:                                             Product A       Product B      Product C       Sales                                 $60,000           $90,000           $24,000       Variable costs                    36,000             48,000             15,000       Contribution margin          24,000             42,000               9,000       Fixed costs:          Avoidable                         9,000             18,000               6,000          Unavoidable                      6,000               9,000               5,400       Operating income             $ 9,000           $15,000          $ (2,400) Denly Company is thinking of dropping Product C because it is reporting a loss. Assuming Denly drops Product C and does not replace it, operating income will: