Jansen Company reports the following for its ski department for the year 2017. All of its costs are direct, except as noted.

1. Prepare a departmental income statement for 2017. 2. & 3. Prepare a departmental contribution to overhead report for 2017. Based on these two performance reports, should Jansen eliminate the ski department?

Sales $600,000 Cost of goods sold 435,000 114,000 ($25,600 is indirect) 15,100 ($5,900 is indirect) 45,600 ($17,100 is indirect) 20,200 (all indirect) Salaries Utilities Depreciation Office expenses Prepare a departmental income statement for 2017. JANSEN COMPANY Departmental Income Statement-Ski Department For Year Ended December 31, 2017 Ski Dept 0 Operating expenses $ 0 Prepare a departmental contribution to overhead report for 2017. Based on these two performance reports, should Jansen eliminate the ski department? JANSEN COMPANY Departmental Contribution to Overhead-Ski Department For Year Ended December 31, 2017 Ski Dept C 0 Contribution to overhead Should Jansen eliminate the ski department