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Thalassines kataskeves, S.A., of Greece makes marine equipment. The company has been experiencing losses on its bilge pump product line for several years. The most

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Thalassines kataskeves, S.A., of Greece makes marine equipment. The company has been experiencing losses on its bilge pump product line for several years. The most recent quarterly contribution format income statement for the bilge pump product line follows: Thalassines Katas keves, S.A. Income statement-Bilge Pump For the Quarter Ended March 31 Sales $ 460,000 Variable expenses Variable manufacturing expenses $ 120,000 Sales commission 52,000 Shipping 21,000 Total variable expenses 201,000 Contribution margin 259,000 Tixed expenses Advertising (for the bilgo punp product line) 23,000 Depreciation of equipment (no ronale value) 111,000 General factory overhead 37,000" Salary of product-line manager 112.000 Innorance on inventories 8.000 Purchasing department 58.0001 Total tixed expenses 349.000 Het operating loss 370.000) "Common costs allocated on the basis of machine-hours. Common costs allocated on the basis of sales dollars. Discontinuing the billige pump product line would not affect sales of other product lines and would have no effect on the company's total general factory overhead or total Purchasing Department expenses. Required: What is the financial advantage (disadvantage of discontinuing the bilge pump product line

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