Service Pro provides two kinds of services. During the most recent accounting period, the two...
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Service Pro provides two kinds of services. During the most recent accounting period, the two service lines produced the following operating results: Service revenue Unit-level materials Unit-level labor Product-level selling & administrative costs Company wide facility-level costs Net Income (loss) Service 1 $190,000 $(42,000) $(52,000) $(32,000) $ (3,000) $ 61,000 Service 2 $ 88,000 $(24,000) $(36,000) $(25,500) $ (3,000) $ (500) If the company stops providing Service 2: O The company's income will decrease by $2,500 per year. The company's income will increase by $2,500 per year. The company's income will increase by $3,500 per year. O The company's income will decrease by $3,500 per year
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