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8-please help with all parts Garcia Company has two operating departments (Phone and Earbuds) and one service department (Office). Its departmental income statements follow. Indirect
8-please help with all parts
Garcia Company has two operating departments (Phone and Earbuds) and one service department (Office). Its departmental income statements follow. Indirect expenses and service department expenses consist of rent, utilities, and office department expenses. Earbuds $ 95,000 58,900 36,100 Combined $ 295,000 156,900 138,100 GARCIA COMPANY Departmental Income Statements For Year Ended December 31 Phone Sales $ 200,000 Cost of goods sold 98,000 Gross profit 102,000 Expenses Sales salaries 19,500 Supplies used 900 Depreciation-Equipment 1,500 Rent 7,030 Utilities 3,200 Share of office department expenses 12,000 Total expenses 44,130 Income $ 57,870 8,000 300 500 3,720 2,600 5,500 20,620 $ 15,480 27,500 1,200 2,000 10,750 5,800 17,500 64,750 $ 73,350 Required: Prepare a departmental contribution to overhead report. Garcia Company Departmental Contribution to Overhead For Year Ended December 31 Phone Earbuds Combined Direct expenses Total direct expenses Departmental contribution to overheadStep by Step Solution
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