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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 kataskeves, S.A. Income Statement-Bilge Pump For the Quarter Ended March 31 Sales $ 470,000 Variable expenses! Variable manufacturing expenses $ 132,880 Sales commissions 52,200 Shipping 18,000 Total variable expenses 282,800 Contribution margin 268,000 Fixed expensest Advertising (for the bilge pump product Une) 26,000 Depreciation of equipment (no resale value) 110, General factory overhead 34,000 Salary of product-line manager 119,000 Insurance on inventories 13,000 Purchasing department Total fixed expenses 356,00 Net operating loss H88.000 "Common costs allocated on the basis of machine-hours, Common 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 financial advantage (disadvantage) of discontinuing the bilge pump product line? 54, Beat

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