Seved BONUS HOMEWORK A Help Save & Exit Submit Check my work 3 Bed & Bath, a retailing company, has two departments---Hardware and Linens. The company's most recent monthly contribution format income statement follows: 10 points Department Total Hardware Linens $ 4,240,000 $3,200,000 $1,040,000 1,334,000 914,000 420,000 2,906,000 2,286,000 620,000 2,200,000 1,360,000 840,000 $ 706,800 $ 926,000 $ (220,000) Sales Variable expenses Contribution margin Fixed expenses Net operating income (loss) eBook Print References A study indicates that $373,000 of the fixed expenses being charged to Linens are sunk costs or allocated costs that will continue even if the Linens Department is dropped. In addition, the elimination of the Linens Department will result in a 19% decrease in the sales of the Hardware Department. Required: What is the financial advantage (disadvantage) of discontinuing the Linens Department? Financial (disadvantage) Financial advantage