8 Below are departmental income statements for a guitar manufacturer. The manufacturer is considering eliminating its electric guitar department since it has a net loss. The company classifies advertising, rent, and utilities expenses as indirect 1 points Electric $83,60 47 450 36,150 WHOLESALE GUITARS Departmental Income Statements For Year Ended December 31, 2017 Acoustic Sales $102,500 Cost of goods sold 44 275 Gross profit 57,725 Operating expenses Advertising expense 4,975 Depreciation expense-equipment 10,060 salaries expense 19,500 Supplies expense 1,980 Rent expense 7,015 Utilities expense 3,615 Total operating expenses Net Income (loss) $ 11,160 ebook 4,260 8,540 17, BD 1,790 5,980 Hint 40, $(4,810) Print 1. Prepare a departmental contribution report that shows each department's contribution to overhead. References WHOLESALE GUITARS Income Statement Showing Departmental Contribution to Overhead For Year Ended December 31, 2017 Acoustio Dept. Electric Dept Combined Direct expenses Total direct expenses Departmental contributions to overhead Indirect expenses Total Indirect expenses 2. Based on contribution to overhead, should the electric guitar department be eliminated? O No O Yes