Bed & Bath, a retailing company, has two departmentsHardware and Linens. The companys most recent monthly contribution format income statement follows

Bed & Bath, a retailing company, has two departments --Hardware and Linens. The company's most recent monthly contribution format income statement follows: Sales Variable expenses Contribution margin Fixed expenses Net operating income (loss) Total $ 4,180,000 1,359,000 2,821,000 2,220,000 601,000 Department Hardware Linens $ 3,020,000 $ 1,160,000 955,000 404,000 2,065,000 756,000 1,360,000 860,000 $ 705,000$ (164,000) A study indicates that $377000 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 13% decrease in the sales of the Hardware Department. Required: What is the financial advantage (disadvantage) of discontinuing the Linens Department