A manufacturer is considering eliminating a segment because it shows the following $$6,500$ loss. All $$21,700$ of its variable costs are avoidable, and $$39,900$ of its fixed costs are avoidable.

Segment Income $($Loss$)$

Sales $ $65,100$

Variable costs $21,700$

Contribution margin $43,400$

Fixed costs $49,900$

Income $($loss$)(6,500)$

$($a$)$ Compute the income increase or decrease from eliminating this segment.

$($b$)$ Should the segment be eliminated?