The most recent monthly income statement for Greenie Stores is given below:

		Total	Store A	Store B
	Sales..................................	1,600,000	$700,000	$900,000
	Variable expenses.............	800,000	350,000	450,000
	Contribution margin..........	800,000	350,000	450,000
	Traceable fixed expenses..	500,000	150,000	350,000
	Store segment margin.......	300,000	200,000	100,000
	Common fixed expenses	200,000	87,500	112,500
	Net operating income........	$ 100,000	$112,500	($ 12,500)

Due to its poor showing, consideration is being given to closing Store B. Studies show that if Store B is closed, one-fifth (20%) of its traceable fixed expenses will continue unchanged. The studies also show that closing Store B would result in a 20 percent increase in sales in Store A. The company allocates common fixed expenses to the stores on the basis of sales dollars.

Compute the overall increase or decrease in the company's operating income if Store B is closed. Show your work! (14 PTS)