Homework nices Bed & Bath, a retailing company, has two departments-Hardware and Linens. The company's most recent monthly contribution format income statement follows: Sales Varieble expenses Contribution margin Fixed expenses Net operating Income (loss) Department tatal $4,150,000 Linens $3,000,000 $1,070,000 1,364,000 403,000 3,786,000 3,119,000 667,000 2,300,000 1500,000 1,400,000 $719,000 10,000 $ (213,000) 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 13% decrease in the sales of the Hardware Department Required: What is the financial advantage (disadvantage) of discontinuing the Linens Department?