Kats Corporation has four departments, all of which appear to be profitable except department 4. Operating data for 2016 are as follows:

Total Departments 1-3 Department 4

Sales $930,000 $700,000 $230,000

Cost of Sales $650,000 $500,000 $150,000

Gross Profit $280,000 $200,000 $80,000

Direct expenses $150,000 $90,000 $60,000

Common expenses $75,000 $45,000 $30,000

Total expenses $225,000 $135,000 $90,000

Net income (loss) $55,000 $65,000 $(10,000)

What will be the effect on the total firm net income if department 4 is eliminated? (Ignore the effect of income tax.)