INCOME STATEMENT WITH DEPARTMENTAL OPERATING INCOME AND TOTAL OPERATING INCOME Sonya McDowell owns a business called The Knitting Chamber. She has divided her business into two departments: domestic yarn and international yarn. The following information is provided for the fiscal year ended June 30, 20--:

REQUIRED
1. Prepare an income statement showing departmental operating income and total operating income.
2. Calculate departmental operating expense and operating incomepercentages.

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Domestic Yarn International Yarn Net sales Cost of goods sold Wages expense Advertising expense Other operating expenses $60,000 $40,000 28,000 5,000 1,500 1,000 10,000 2,500 4,000