Requirement $1.$ By closing down the Rhode Island$$ store,

NunezNunez

can reduce overall corporate overhead costs by

$ $47,000.$

Calculate

NunezNunez$\text{'}$s

operating income if it closes the Rhode Island store. Is Maria$$ Lopez's statement about the effect of closing the Rhode Island store$$ correct? Explain.

Begin by calculating

NunezNunez$\text{'}$s

operating income if it closes the Rhode Island store. $($If the net effect is an operating loss enter the amount with parentheses or a minus$$ sign.$)$

The net effect on operating income $($loss$)$ if Nunez closes the Rhode Island store is $