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Garcia Company has two operating departments (Phone and Earbuds) and one service department (Office). Its departmental income statements follow. Indirect expenses and service department

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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 Sales Cost of goods sold Gross profit Expenses Sales salaries Supplies used Depreciation-Equipment Rent Utilities Share of office department expenses Total expenses Income Phone Earbuds Combined $ 250,000 122,500 $ 95,000 58,900 $ 345,000 181,400 127,500 36,100 163,600 22,000 7,100 29,100 1,050 750 1,800 1,500 800 2,300 7,090 3,960 11,050 2,900 2,600 5,500 11,500 5,000 16,500 46,040 20,210 66,250 $ 81,460 $ 15,890 $ 97,350 Required: Prepare a departmental contribution to overhead report. Garcia Company Departmental Contribution to Overhead For Year Ended December 31 Phone Earbuds Combined

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