Fox Books is a bookstore that has a caf as well as selling books and stationery. It currently allocates Administration, Selling and Other Operating Expenses using the Cost of Goods Sold of each product department. Fox Books wants to maximise the accurate pricing and cost management of each department. Management is questioning whether the accounting system is providing the best information for making cost decisions. Fox Books - Department Information for 30 June 2024 Caf Books Stationery Revenues $1,472,432 $7,440,960 $4,630,720 Cost of Goods Sold $1,113.370 $5,313,454 $3,444,622 Caf Cleaning Expense $36,500 - - Number of Orders Placed 4,000 5,600 5,000 Number of Deliveries Received 3,200 2,800 3,400 Hours of Loading Inventory 20,000 30,000 28,000 Items Sold 736,216 372,048 347,304 The following Administration, Selling & Other Expenses are incurred: Purchasing Department Expenses $949,000 Receiving Department Expenses $864,800 Inventory Loading Expenses $975,000 Customer Support Expenses $273,552 $3,062,352 Required: a) Prepare an income statement for each department using Cost of Goods Sold to allocate Administration, Selling & Other Expenses. [9 marks] b) Identify and explain a better method for allocating Administration, Selling & Other Expenses across the 3 departments. Use your proposed method of allocation to prepare alternative income statements for each department and compare them with the results in a). [18 marks] c) Write a brief report to the management of Fox Books to summarise your recommendations for improvements to the accounting system, and how this information would be useful for management decisions. [8 marks