Garcia Company has two operating departments $($Phone and Earbuds$)$ and one service department $($Office$).$ Its departmental income statements follow. Indirect expenses and service department expenses consist of rent, utilities, and office department expenses.

GARCIA COMPANY

Departmental Income Statements

For Year Ended December $31$

Phone Earbuds Combined

Sales $ $170,000$ $ $105,000$ $ $275,000$

Cost of goods sold $83,30065,100148,400$

Gross profit $86,70039,900126,600$

Expenses

Sales salaries $22,5006,90029,400$

Supplies used $1,0005501,550$

Depreciation$$Equipment $2,0006002,600$

Rent $7,0603,48010,540$

Utilities $2,7002,4005,100$

Share of office department expenses $10,5006,50017,000$

Total expenses $45,76020,43066,190$

Income $ $40,940$ $ $19,470$ $ $60,410$

Required:

Prepare a departmental contribution to overhead report.