The Operations of Grant Corporation Are Divided into the Fix

The operations of Grant Corporation are divided into the Fix Division and the Roach Division.Projections for the next year are as follows:
$\begin{array}{lccc}&\text { Fix Division } & \text { Roach Division } & \text { Total }\\ \text { Sales } & \$ 60,000 & \$ 40,000 & \begin{array}{r}\$ 100,000 \\\end{array} \\ \text { Variable costs } & 20,000 & 15,000 & 35,000 \\ \text { Contribution margin } & \$ 40,000 & \$ 25,000 & \$ 65,000 \\\text { Direct fixed costs } & 12,500 & 30,000 & 42,500 \\ \text { egment margin } & \$ 27,500 & \$(5,000) & \overline{\$ 22,500} \\ \text { located common costs } & 10,000 & 7,500 & 17,500 \\ \text { erating income (loss) } & \$ 17,500 & \$(12,500 & 5,000 \\\end{array}$
a.Determine operating income for Grant Corporation as a whole if the Roach Division is dropped.
b.Should the Roach Division be eliminated?