Papa Fred's Pizza store no. 16 has fallen on hard times and is about to be closed. The following figures are available for the period just ended:

All employees except the store manager would be discharged. The manager, who earns $27,000 annually, would be transferred to store no. 19 in a neighboring suburb. Also, no. 16's furnishings and equipment are fully depreciated and would be removed and transported to Papa Fred's warehouse at a cost of $2,800.
Required:
(a.) What is store no. 16's reported loss for the period just ended?
(b.) Should the store be closed? Why?
(c.) Would Papa Fred's likely lose all $205,000 of sales revenue if store no. 16 were closed?

Sales Cost of sales Building occupancy costs $205,000 67,900 Rent Utilities Supplies used Wages Miscellaneous Allocated corporate overhead 36,500 15,000 5,600 77,700 2,400 16,800