Profit Center Responsibility Reporting Championship Sports Inc. operates two divisions-the Winter Sports Division and the Summer Sports Division. The following income and expense accounts were provided from the trial balance as of December 31, 2049, the end of the fiscal year, after all adjustments, including those for inventories, were recorded and posted: Sales-Winter Sports Division $30,240,000 Sales-Summer Sports Division 33,408,000 Cost of Goods Sold-Winter Sports Division 18,144,000 Cost of Goods Sold-Summer Sports Division 19,296,000 Sales Expense-Winter Sports Division Sales Expense-Summer Sports Division 5,184,000 4,608,000 3,024,000 Administrative Expense-Winter Sports Division Administrative Expense-Summer Sports Division 2,966,400 952,000 Advertising Expense Transportation Expense 581,400 ounts Receivable Collection Expense 248,000 Warehouse Expense 2,880,000 The bases to be used in allocating expenses, together with other information, are as follows: a. Advertising expense-incurred at headquarters, allocated to divisions on the basis of usage: Winter Sports Division, $447,000; Summer Sports Division, $505,000. b. Transportation expense-allocated to divisions at a rate of $18 per bill of lading: Winter Sports Division, 15,400 bills of lading; Summer Sports Division, 16,900 bills of lading. c. Accounts receivable collection expense-incurred at headquarters, allocated to divisions at a rate of $8 per invoice: Winter Sports Division, 14,300 sales invoices; Summer Sports Division, 16,700 sales invoices. d. Warehouse expense-allocated to divisions on the basis of floor space used in storing division products: Winter Sports Division, 160,000 square feet; Summer Sports Division, 200,000 square feet. Prepare a divisional income statement with two column headings: Winter Sports Division and Summer Sports Division. Do not round your interim calculations. Championship Sports Inc. Divisional Income Statements For the Year Ended December 31, 2019 Winter Sports Division Summer Sports Division Sales 30,240,000 33,408,000 Cost of goods sold 18,144,000 19,296,000 12,096,000 14,112,000 Gross profit Divisional selling and administrative expenses: Divisional selling expenses 5,184,000 4,608,000 Divisional administrative expenses 3,024,000 2,966,400 Total divisional selling and administrative expenses 8,208,000 7,574,400 3,888,000 6,537,600 Operating income before support department allocations Support department allocations: Advertising expense 447,000 505,000 Transportation expense 277,200 304,200 Accounts receivable collection expense 114,400 133,600 Warehouse expense Total support department allocations Operating income Provide supporting schedules for determining support department allocations. If required, round per unit amounts to two decimal places and final answers to the nearest dollar. Championship Sports Inc. Support Department Allocations For the Year Ended December 31, 2019 Winter Sports Division Summer Sports Division Total Advertising expense 447,000 505,000 952,000 Transportation rate per bill of lading 18 18 Number of bills of lading 15,400 16,900 Transportation expense 277,200 304,200 581,400 Accounts receivable collection rate 8 8 14,300 Number of sales invoices 16,700 Accounts receivable collection expense 114,400 133,600 248,000 Warehouse rate per sq. ft. Number of square feet 160,000 200,000 Warehouse expense