Benson Boot Co. sells men's, women's, and children's boots. For each type of boot sold, it operates a separate department that has its own manager. The manager of the men's department has a sales staff of nine employees, the manager of the women's department has six employees, and the manager of the children's department has three employees. All departments are housed in a single store. In recent years, the children's department has operated at a net loss and is expected to continue to do so. Last year's Income statements follovw Sales Cost of goods sold $ 630,000 $ 450,000 $170,000 (98,375 71,625 (24,000) (29, 400) (24,000) 7,000 (177,600)-- 363,000 (55,000) (109,200) (24,000) 7,000 S 167,800 272,400 (44,000) (78, 600) (24,000) (7.0001 nt manager's salary Rent on store lease Store utilities S 118,800 $(12,775) a. Calculate the contribution margin. Determine whether to eliminate the children's department Calculate the net income for the company as a whole with the children's department and without the children's department management estimates that a wider selection of adult boots would increase the store's net earnings by $35,000 Would b-2. Confirm the conclusion you reached in Requirement a by preparing income statements for the company as a whole with c. Eliminating the children's department would increase space available to display men's and women's boots. Suppose this information affect the decision that you made in Requirement a? Complete this question by entering your answers in the tabs below Prev 3013 ill Next