Please answer all sections a-c and show work

P M MHEReade-r E H pla'ereui.mheducatlonrmm . 1L 3 r-'. l Apps E Youtube E Salsa iii. RARBG Rarbglnd... ' 'hrJrJtingG... Dime 355 Logmto Beeline e Workplace Lia-gm Secure- E'llentAcc... BraveWe-h 5 Other Bookmarks a. Contribution to profit: $4,000 Western Boot Co. sells men's, women's, and children's boots. For each type of boot sold, it operates a separate department that has its own manager. The manager of the men's department has a sales sta' of nine employees, the manager of the women's department has six employees, and the manager of the children's department has three employees. All departments are housed in a single store. In recent years, the children's department has operated at a net loss and is expected to continue to do so. Last year's income statements follow. Men's Department Women's Department Children's Department Sales $250,000 $300,000 $ 50,000 Cost of goods sold (105,000) (125,000) (35,000} Gross margin 145,000 175,000 25,000 Department manager's salary (26.000) (30,000] {12,000} Sales commissions (43.000) (49.000) {9.000) Rent on store lease (10.500) (10,500) {10,500} Store utilities [2.000] (2,000) (2,000) Net income [loss) 95 53,500 $ 83,500 $ (8,500) Required :1. Determine whether to eliminate the children's department. Ii. Conrm the conclusion you reached in Requirement 0 by preparing income statements for the company as a whole with and without the children's department. c. Eliminating the children's department would increase space available to display men's and women's boots. Suppose management estimates that a wider selection of adult boots would increase the store's net earnings by $10,000. Would this information affect the decision that you made in Requirement :1? Explain your