Thalassines Kataskeves, S$.$A$,$ of Greece makes marine equipment. The company has been experiencing losses on its bilge pu product line for several years. The most recent quarterly contribution format income statement for the bilge pump follows:

Thalassines Kataskeves, $5.$A$.$

Income Statement$-$Bilge Pump

For the Quarter Ended March $31$

Sales

Variable expenses:

Variable manufacturing expenses

Sales commissions

Shipping

Total variable expenses

Contribution margin

Fixed expenses:

Advertising $($for the bilge pump product line$)$

Depreciation of equipment $($no resale value$)$

General factory overhead

Salary of product$-$line manager

Insurance on inventories

Purchasing department

Total fixed expenses

Net operating loss

"Common costs allocated on the basis of machine$-$hours. tCommon costs allocated on the basis of sales dollars.

Discontinuing the bilge pump would not affect sales of other product lines and would have no effect on the company's total genera factory overhead or total Purchasing Department expenses.

Required:

What is the financial advantage $($disadvantage$)$ of discontinuing the bilge pump?

Financial advantage