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 $ 230,000 112,700 117,300 Earbuds $ 115,000 71,300 Combined $ 345,000 184,000 43,700 161,000 20,500 7,400 27,900 600 450 1,050 2,400 600 3,000 7,030 4,080 11,110 2,900 2,300 5,200 13,000 7,000 46,430 21,830 $ 70,870 $ 21,870 20,000 68,260 $ 92,740 Required: Prepare a departmental contribution to overhead report. Garcia Company Departmental Contribution to Overhead For Year Ended December 31 Direct expenses Total direct expenses Departmental contribution to overhead Phone Earbuds Combined