Jansen Company reports the following for its ski department for the year 2019. All of its costs are direct, except as noted.

Sales $ 600,000 Cost of goods sold 445,000 Salaries 110,000 ($25,400 is indirect) Utilities 15,900 ($5,500 is indirect) Depreciation 45,800 ($17,700 is indirect) Office expenses 25,600 (all indirect)

1. Produce a departmental income statement for 2019.

2. & 3. departmental contribution to overhead report for 2019. Based on these two performance reports, should Jansen eliminate the ski department?