Glades Sporting Goods Co. operates two divisionsthe Winter Sports Division and the Summer Sports Division. The following income and expense accounts were provided from the trial balance as of December 31, 20Y8, the end of the fiscal year, after all adjustments, including those for inventories, were recorded and posted:

SalesWinter Sports Division$27,195,000SalesSummer Sports Division30,044,000Cost of Goods SoldWinter Sports Division16,317,000Cost of Goods SoldSummer Sports Division17,353,000Sales ExpenseWinter Sports Division4,662,000Sales ExpenseSummer Sports Division4,144,000Administrative ExpenseWinter Sports Division2,719,500Administrative ExpenseSummer Sports Division2,667,700Advertising Expense958,000Transportation Expense514,800Accounts Receivable Collection Expense218,400Warehouse Expense2,590,000

The bases to be used in allocating expenses, together with other essential information, are as follows:

1. Advertising expenseincurred at headquarters, allocated to divisions on the basis of usage: Winter Sports Division, $450,000; Summer Sports Division, $508,000.
2. Transportation expenseallocated to divisions at an allocation rate of $18 per bill of lading: Winter Sports Division, 13,600 bills of lading; Summer Sports Division, 15,000 bills of lading.
3. Accounts receivable collection expenseincurred at headquarters, allocated to divisions at an allocation rate of $8 per invoice: Winter Sports Division, 12,600 sales invoices; Summer Sports Division, 14,700 sales invoices.
4. Warehouse expenseallocated to divisions on the basis of floor space used in storing division products: Winter Sports Division, 120,000 square feet; Summer Sports Division, 160,000 square feet.

Question Content Area

Prepare a divisional income statement with two column headings: Winter Sports Division and Summer Sports Division. Do not round your interim calculations.

Winter Sports DivisionSummer Sports DivisionSales$fill in the blank 526e8a0b5fdd017_1$fill in the blank 526e8a0b5fdd017_2Cost of goods soldfill in the blank 526e8a0b5fdd017_3fill in the blank 526e8a0b5fdd017_4Gross profit$fill in the blank 526e8a0b5fdd017_5$fill in the blank 526e8a0b5fdd017_6Divisional selling and administrative expenses:blankblankDivisional selling expenses$fill in the blank 526e8a0b5fdd017_7$fill in the blank 526e8a0b5fdd017_8Divisional administrative expensesfill in the blank 526e8a0b5fdd017_9fill in the blank 526e8a0b5fdd017_10Total divisional selling and administrative expenses$fill in the blank 526e8a0b5fdd017_11$fill in the blank 526e8a0b5fdd017_12Income from operations before service department allocations$fill in the blank 526e8a0b5fdd017_13$fill in the blank 526e8a0b5fdd017_14Less service department cost allocations: Advertising expense$fill in the blank 526e8a0b5fdd017_15$fill in the blank 526e8a0b5fdd017_16Transportation expensefill in the blank 526e8a0b5fdd017_17fill in the blank 526e8a0b5fdd017_18Accounts receivable collection expensefill in the blank 526e8a0b5fdd017_19fill in the blank 526e8a0b5fdd017_20Warehouse expensefill in the blank 526e8a0b5fdd017_21fill in the blank 526e8a0b5fdd017_22Total$fill in the blank 526e8a0b5fdd017_23$fill in the blank 526e8a0b5fdd017_24Income from operations$fill in the blank 526e8a0b5fdd017_25$fill in the blank 526e8a0b5fdd017_26

Question Content Area

Provide supporting schedules for determining service department cost allocations.. If required, round per unit amounts to two decimal places and final answers to the nearest dollar.

Winter Sports DivisionSummer Sports Division TotalAdvertising expense$fill in the blank cd593b000fd8078_1$fill in the blank cd593b000fd8078_2$fill in the blank cd593b000fd8078_3Transportation rate per bill of lading$fill in the blank cd593b000fd8078_4$fill in the blank cd593b000fd8078_5 Number of bills of ladingfill in the blank cd593b000fd8078_6fill in the blank cd593b000fd8078_7 Transportation expense$fill in the blank cd593b000fd8078_8$fill in the blank cd593b000fd8078_9$fill in the blank cd593b000fd8078_10Accounts receivable collection rate$fill in the blank cd593b000fd8078_11$fill in the blank cd593b000fd8078_12 Number of sales invoicesfill in the blank cd593b000fd8078_13fill in the blank cd593b000fd8078_14 Accounts receivable collection expense$fill in the blank cd593b000fd8078_15$fill in the blank cd593b000fd8078_16$fill in the blank cd593b000fd8078_17Warehouse rate per sq. ft.$fill in the blank cd593b000fd8078_18$fill in the blank cd593b000fd8078_19 Number of square feetfill in the blank cd593b000fd8078_20fill in the blank cd593b000fd8078_21 Warehouse expense$fill in the blank cd593b000fd8078_22$fill in the blank cd593b000fd8078_23$fill in the blank cd593b000fd8078_24