Exercise 9-7 Departmental contribution report LO P3 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 $84,38 46,750 37,550 WHOLESALE GUITARS Departmental Income Statements For Year Ended December 31, 2017 Acoustic Sales $1e2,800 Cost of goods sold 43,775 Gross profit 59,025 Operating expenses Advertising expense 5,015 Depreciation expense-equipment 10,138 Salaries expense 19,800 Supplies expense 2,82e Rent expense 7,845 Utilities expense 2,975 Total operating expenses 46,985 Net income (loss) $ 12,840 ,300 8,570 17,880 1,78e 6,040 2.610 41.100 $(3,558) 1. Prepare a departmental contribution report that shows each department's contribution to overhead 9:42 PI g 44 1/18/20 Check my work 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 A = 9:42 PM 40 7/18/20 arch