Superior Markets, Incorporated, 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, Incorporated Income Statement For the Quarter Ended September 30 Total Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Total expenses Net operating income (loss) North Store $ 3,600,000 1,988,640 $ 864,000 483,840 South Store $ 1,440,000 East Store $ 1,296,000 792,000 712,800 1,611,360 380,160 648,000 583,200 980,400 277,680 378,000 324,720 459,600 127,200 181,080 151,320 1,440,000 404,880 559,080 476,040 $ 171,360 $ (24,720) $ 88,920 $ 107,160 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: a. The breakdown of the selling and administrative expenses that are shown above is as follows: