Below are departmental income statements for a guitar manufacturer. The company classifies advertising, rent, and utilities as indirect expenses. The manufacturer is considering eliminating its Electric Guitar department because it shows a loss. Departmental Income Statements For Year Ended December 31 Sales Cost of goods sold Gross profit Expenses Advertising Depreciation-Equipment Salaries Supplies used Rent Utilities Total expenses Income (loss) Acoustic $ 102,100 45,675 Electric $ 83,800 56,425 47,358 36,450 4,975 4,300 10,140 8,600 19,900 18,000 1,998 1,710 7,095 6,040 2,995 2,590 47,095 41,240 $ (4,798) $ 9,330 1. Prepare a departmental contribution to overhead report. 2. Based on contribution to overhead, should the electric guitar department be eliminated? Required 1 Required 2 Prepare a departmental contribution to overhead report. Departmental Contribution to Overhead For Year Ended December 31 Sales Cost of goods sold Gross profit Direct expenses Depreciation expense-Equipment Salaries expense Supplies used Total direct expenses Departmental contribution to overhead Acoustic Electric Combined 0 0 0 69 $ 0 $ 0 $ 0 Required 1 Required 2 Based on contribution to overhead, should the electric guitar department be eliminated? Based on contribution to overhead, should the electric guitar department be eliminated?