Assume a retailing company has two departments Department A and Department B. The company's most recent contribution format income statement follows: Total $ 800,000 Department A Department B $350,000 $ 450,000 Sales Variable expenses 320,000 120,000 200,000 Contribution margin 480,000 230,000 250,000 Fixed expenses 400,000 140,000 260,000 Net operating income (loss) $ 80,000 $ 90,000 $ (10,000) The company says that $110,000 of the fixed expenses being charged to Department B are sunk costs of allocated costs that will continue i the segment is discontinued. However, if Department B is discontinued the sales in Department A will drop by 7%. What is the financial advantage (disadvantage) of discontinuing Department B Multiple Choice $(128,000) 4:10 Multiple Choice D = $(128,000) $(132,000) $(136,100) $(116,100) C 75F Clear