Suire Corporation is considering dropping product D$14$E$.$ Data from the company's accounting system appear below:

Sales $ $680,000$

Variable expenses $ $300,000$

Fixed manufacturing expenses $ $248,000$

Fixed selling and administrative expenses $ $196,000$

All fixed expenses of the company are fully allocated to products in the company's accounting system. Further investigation has revealed that $$196,500$ of the fixed manufacturing expenses and $$111,500$ of the fixed selling and administrative expenses are avoidable if product D$14$E is discontinued.

Required:

a$.$ According to the company's accounting system, what is the net operating income earned by product D$14$E$?($Net losses should be indicated by a minus sign.$)$

b$.$ What would be the financial advantage $($disadvantage$)$ of dropping product D$14$E$?$ Should the product be dropped?