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Thalassines Kataskeves, SA, 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, SA, 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 Kataskeves, S.A. Income Statement Bilge Pump For the Quarter Ended Manch 31 Sales Variable expenses: $480,000 Variable manufacturing expenses Sales commissions Shipping $127,e00 41,000 20,90e 188,800 292,000 Total variable expenses Contribution margin Fixed expenses: Advertising (for the bilge pump product line)29,e0e Depreciation of equipment (no resale value) General factory overhead Salary of product-line managen Insurance on inventories Purchasing department 113,000 39,000 115,000 5,000 41,000 342,808 Total fixed expenses Net operating loss s (50,000) -Common costs allocated on the basis of machine-hours t Common costs allocated on the basis of sales dollars Common costs allocated on the basis of machine-hours tCommon costs allocated on the basis of sales dollars Discontinuing the bilge 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 financlial advantage ldisadvantage) ot discontinuing the bilige pump product line

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