Aggie Football Corporation is considering dropping product PUNT. The corporation provides you with the following data for PUNT:

Sales	$933,000
Variable expenses	$412,000
Fixed manufacturing expenses	$347,000
Fixed selling and administrative expenses	$254,000

Aggie fully allocates all company fixed expenses to products in the company's accounting system. In addition, examination of Aggie's books revealed that $125,000 of the fixed selling and administrative expenses and $214,000 of the fixed manufacturing expenses are avoidable if product PUNT is discontinued.

According to Aggie's accounting system, what is the net operating income earned by product PUNT?

$(80,000)

$521,000

$80,000

$(521,000)