Yavapei Company produces three products: A, B, and C. A segmented income statement, with amounts given in thousands, follows: A B C Total Sales revenue $1,800 $1,600 $210 $ 3,610 Less: Variable expenses 1,350 1,000 140 2,490 Contribution margin $ 450 $ 600 $ 70 $1,120 Less: Direct fixed expenses 150 300 80 530 Segment margin $ 300 $ 600 $(10) $ 590 Less: Common fixed expenses 340 Operating income $ 250 Direct fixed expenses include depreciation on equipment dedicated to the product lines of $20,000 for A, $120,000 for B, and $25,000 for C. None of the product line equipment can be sold, and would have to be disposed of if the product line were dropped. Required 1. What impact on profit would result from dropping Product C?