Below are departmental income statements for a guitar manufacturer. The manufacturer is considering department since it has a net loss. The company classifies advertising, rent, and utilities expenses as in Electric $84,100 47,350 36,750 WHOLESALE GUITARS Departmental Income Statements For Year Ended December 31, 2019 Acoustic Sales $102,300 Cost of goods sold 45,375 Gross profit 56,925 Operating expenses Advertising expense 5,025 Depreciation expense-Equipment 10,090 Salaries expense 20,100 Supplies expense 2,010 Rent expense 7,055 Utilities expense 3,025 Total operating expenses 47,305 Net income (loss) $ 9,620 4,320 8,590 17,800 1,720 5,950 2,610 40,990 $(4,240) 1. Prepare a departmental contribution report that shows each department's contribution to overhead. 2. Based on contribution to overhead, should the electric guitar department be eliminated? Required 1 Required 2 Prepare a departmental contribution report that shows each department's contribution to overhead. WHOLESALE GUITARS Income Statement Showing Departmental Contribution to Overhead For Year Ended December 31, 2019 Acoustic Dept. Electric Dept. Combined Direct expenses Total direct expenses Departmental contributions to overhead Indirect expenses Total indirect expenses Required 1 Required 2 >