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Bed & Bath a retailing company has two departments. Hardware and Linens The company's most recent monthly contribution formal income statement follows A study indicates

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Bed & Bath a retailing company has two departments. Hardware and Linens The company's most recent monthly contribution formal income statement follows A study indicates that $371,000 of the fixed expenses bong charged to Limnens 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 insult n a 17% decrease the sales of the Hardware Department If the Linens Department is dropped what will be the effect on the net operating income of the company as a whole

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