Papa Fred's Pizza is a chain of pizza outlets. Store # 16 has fallen on hard times and is targeted to be closed. The following figures are available for the period just ended:

Sales	$215,000
Cost of sales	73,000
Building occupancy costs:
Rent	35,500
Utilities	15,050
Supplies used	5,600
Wages	77,500
Miscellaneous	2,500
Allocated corporate overhead [including depreciation]	13,825

If Store #16 were closed, all employees except the store manager would be discharged. The manager, who earns $27,000 annually, would be transferred to store no. 19 in a neighboring suburb. Also, Store # 16's furnishings and equipment are fully depreciated and would be removed and transported to Papa Fred's warehouse at a cost of $2,675.

Required:

1. What is store # 16's traceable reported gain/loss for the period just ended?
2. List and explain the relevant costs.
3. Should the store be closed? Why? Why not? Be specific.
4. Would Papa Fred's likely lose all $215,000 of sales revenue if Store # 16 were closed? Explain. What other issues Papa Freds management should consider in addition to the financial issues you have addressed?