Bed & Bath, a retailing company, has two departments$-$Hardware and Linens. The company's most recent monthly contribution format income statement follows:SalesVariable expensesContribution marginFixed expensesNet operating income $($loss$)$Total$ $4,060,0001,379,0002,681,0002,230,000$$ $451,000$DepartmentHardware$ $3,020,000972,0002,048,0001,410,000$$ $638,000$Linens$ $1,040,000407,000633,000820,000$$ $(187,000)$A study indicates that $$377,000$ of the fixed expenses being charged to Linens are sunk costs or allocated costs that will continue even if the Linens Department is dropped. In addition, the elimination of the Linens Department will result in a $20\%$ decrease in the sales of the Hardware Department.Required:What is the total financial impact of discontinuing the Linens Department?