Hello, I copied the actual question from my assignment, but I am stuck on 1 part. The very bottom of the page shows my answers but under the "Sales Salaries" portion I cannot seem to figure out "Eliminated Expenses" and "Continuing Expenses" part. Can you provide any assistance or what equation I will need to figure this part out? Thank you! Elegant Decor Companys management is trying to decide whether to eliminate Department 200, which has produced losses or low profits for several years. The companys departmental income statements show the following.

ELEGANT DECOR COMPANY Departmental Income Statements For Year Ended December 31, 2019
	Dept. 100					Dept. 200					Combined
Sales		$	447,000				$	286,000				$	733,000
Cost of goods sold			265,000					208,000					473,000
Gross profit			182,000					78,000					260,000
Operating expenses
Direct expenses
Advertising			15,500					10,500					26,000
Store supplies used			6,000					5,600					11,600
DepreciationStore equipment			4,000					2,400					6,400
Total direct expenses			25,500					18,500					44,000
Allocated expenses
Sales salaries			65,000					39,000					104,000
Rent expense			9,450					4,700					14,150
Bad debts expense			9,700					7,400					17,100
Office salary			21,840					14,560					36,400
Insurance expense			2,300					1,600					3,900
Miscellaneous office expenses			2,000					1,400					3,400
Total allocated expenses			110,290					68,660					178,950
Total expenses			135,790					87,160					222,950
Net income (loss)		$	46,210				$	(9,160	)			$	37,050

In analyzing whether to eliminate Department 200, management considers the following:

The company has one office worker who earns $700 per week, or $36,400 per year, and four salesclerks who each earns $500 per week, or $26,000 per year for each salesclerk.

The full salaries of two salesclerks are charged to Department 100. The full salary of one salesclerk is charged to Department 200. The salary of the fourth clerk, who works half-time in both departments, is divided evenly between the two departments.

Eliminating Department 200 would avoid the sales salaries and the office salary currently allocated to it. However, management prefers another plan. Two salesclerks have indicated that they will be quitting soon. Management believes that their work can be done by the other two clerks if the one office worker works in sales half-time. Eliminating Department 200 will allow this shift of duties. If this change is implemented, half the office workers salary would be reported as sales salaries and half would be reported as office salary.

The store building is rented under a long-term lease that cannot be changed. Therefore, Department 100 will use the space and equipment currently used by Department 200.

Closing Department 200 will eliminate its expenses for advertising, bad debts, and store supplies; 73% of the insurance expense allocated to it to cover its merchandise inventory; and 22% of the miscellaneous office expenses presently

ELEGANT DECOR COMPANY
Analysis of Expenses under Elimination of Department 200
	Total Expenses	Eliminated Expenses	Continuing Expenses
Cost of goods sold	$473,000	$208,000	$265,000
Direct expenses
Advertising	26,000	10,500	15,500
Store supplies used	11,600	5,600	6,000
DepreciationStore equipment	6,400	0	6,400
Allocated expenses
Sales salaries	104,000	?????????	?????????
Rent expense	14,150	0	14,150
Bad debts expense	17,100	7,400	9,700
Office salary	36,400	18,200	18,200
Insurance expense	3,900	1,168	2,732
Miscellaneous office expenses	3,400	308	3,092
Total expenses	$695,950	$251,176	$340,774