Exercise 12-17 Dropping or Retaining a Segment (L012-2) 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) Departsent Totat Hardware Linens $4,210,000 $3,170,000 $1,040,000 1,257.000 855.000 402,600 2,953,000 2,315,000 638,000 2,270,000 1,460,000 810,000 683,000 $ 155,000 $ (172.000) A study indicates that $372,000 of the fixed expenses being charged to Linens are sunk costs or alocated costs that will continue even if the Linens Department is dropped. In addition, the elimination of the Linens Department will result in a 17% decrease in the sales of the Hardware Department Required: What is the financial advantage (disadvantage of discontinuing the Linens Department