Elegant Decor Company's management is trying to decide whether to eliminate Department 200, which has produced losses or low profits for several years. The Company's 2015 departmental income statements shows the following ELEGANT DECOR COMPANY Departmental Income Statements For Year Ended December 31, 2015 Dept. 200 Dept. 100 Combined 437,000 282,000 719,000 Sales 266,000 475,000 Cost of goods sold 209.000 171,000 73,000 Gross profit Operating expenses Direct expenses 17,500 12,500 30,000 Advertising 4,000 Store supplies used 4.500 8,500 Depreciation-Store equipment 4.000 2.800 6.800 45,300 Total direct expenses 26,000 19,300 Allocated expenses 39,000 65,000 104,000 Sales salaries Rent expense 9.440 4.730 14.170 Bad debts expense 9.700 7700 17.400 26,000 15,600 10,400 Office salary Insurance expense 2100 1,300 3,400 Miscellaneous office expenses 2,400 1,600 4.000 104,240 Total allocated expenses 64,730 168.970 84,030 214,270 Total expenses 130.240 40760 29730 Net income (loss)