Superior Markets, Inc., operates three stores in a large metropolitan area. A segmented absorption costing income statement for the company for the last quarter is given below: Superior Markets, Inc Income Statement For the Quarter Ended September 30 East North South Total Store Store Store Sales $4,600,000 $920,000 $1,840,000 $1,840,000 953,000 2,530,000 565,000 Cost of goods sold 1,012,000 2,070,000 355,000 887,000 828.000 Gross margin Selling and administrative expenses 323,000 278,600 Selling expenses 849,000 247,400 Administrative expenses 463.000 122.000 174.900 166, 100 1,312,000 369,400 497,900 444,700 Total expenses Net operating income (loss) 758,000 (14,400) 389,100 383,300 The North Store has consistently shown losses over the past two years. For this reason, management is giving consideration to closing the store. The company has asked you to make a recommendation as to whether the store should be closed or kept open. The following additional information is available for your use The breakdown of the selling and administrative expenses is as follows: Total Selling expenses Sales salaries 230,400 62,200 68,600 99,600 Direct advertising 181.000 67,000 88.000 26.000 General advertising 69,000 13.800 27.600 27.600 Store rent 305,000 85.000 118.000 102.000 Depreciation of store fixtures 24.000 6.200 7.600 10.200 Delivery salaries 25.800 8.600 8.600 8.600 Depreciation of delivery equipment 13.800 4.600 4.600 4.600 $849,000 $247,400 $323,000 $278,600 Total selling expenses