Required information (The following information applies to the questions displayed below.) Suresh Co. expects its five departments to yield the following income for next year. Dept. M $67,000 Dept. N $ 37,000 Dept. 0 $60,000 Dept. P $46,000 Dept. T $ 32,000 Total $242,000 Sales Expenses Avoidable Unavoidable Total expenses Net income (loss) 11,800 53,400 65,200 $ 1,800 38,800 15,000 53,800 $(16,800) 23,600 4,600 28,200 $31,800 16,000 41,400 31,800 12,600 47,800 54,000 $(1,800) $(22,000) 131,600 117,400 249,000 $ (7,000) Recompute and prepare the departmental income statements (including a combined total column) for the company under each of the following separate scenarios. (1) Management eliminates departments with expected net losses. DEPARTMENTS WITH EXPECTED NET LOSSES ELIMINATED Dept. M. Dept. N Dept. o Dept. P Dept. T Total Sales Expenses: Avoidable Unavoidable Total expenses Net income (loss) ! Required information (The following information applies to the questions displayed below.) Suresh Co. expects its five departments to yield the following income for next year. Dept. M $67,000 Dept. N $ 37,000 Dept. o $60,000 Dept. P $46,000 Dept. T $ 32,000 Total $242,000 Sales Expenses Avoidable Unavoidable Total expenses Net income (loss) 11,800 53,400 65,200 $ 1,800 38,800 15,000 53,800 $(16,800) 23,600 4,600 28, 200 $31,800 16,000 31,800 47,800 $(1,800) 41,400 12,600 54,000 $(22,000) 131,600 117,400 249,000 $ (7,000) Recompute and prepare the departmental income statements (including a combined total column) for the company under each of the following separate scenarios. (2) Management eliminates departments with sales dollars that are less than avoidable expenses. DEPARTMENTS WITH LESS SALES THAN AVOIDABLE EXPENSES ELIMINATED Dept. M. Dept. N Dept. o Dept. P Dept. T Total Sales Expenses Avoidable Unavoidable Total expenses Net income (loss)