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. Electric $84,600 47,550 37,050 WHOLESALE GUITARS Departmental Income Statements For Year Ended December 31, 2017 Acoustic Sales $102,600 Cost of goods sold 43,875 Gross profit 58,725 Operating expenses Advertising expense 5,015 Depreciation expense-equipment 10,130 Salaries expense 19,600 Supplies expense 1,940 Rent expense 7,045 Utilities expense 3,015 Total operating expenses 46,745 Net income (loss) 11,980 4,330 8,560 17,100 1,770 6,010 2,570 40,340 $(3,290) 1. Prepare a departmental contribution report that shows each department's contribution to overhead. 1. 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, 2017 Acoustic Dept. Electric Dept. Combined Direct expenses Total direct expenses Departmental contributions to overhead Indirect expenses Total indirect expenses