Thornton Boot Co se s men's, women's and ch dren's boots for each type of boot soldt operates a separate department that has its own manager. The manager of the men's department has a sales staf of nine englovees, 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 sexpected to continue to do so. Last year's income statements follow: Cost of goods sold Gross margin Department manager's salary Sales comissions Rent on store loase Store utilities Net Income (ons) Men's Department $ 700,000 1273,500) 426,500 (68,000) 122,200) (37,000) (20,000) $ 179,300 Women's Chidren's Department Department $500,000 $200,000 1182,800) 104,875) 317,200 95,125 (57,000) (37,000) (91,600) (35,900) (37,000) (37,000) (20,000) (20,000) $ 111,600 $ (34,775) Required a. Calculate the contribution margin. Determine whether to eliminate the children's department b-1. Calculate the net Income for the company as a whole with the children's department b-2. Confirm the conclusion you reached In Requirement a by preparing Income statements for the company 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 adut boots would increase the store's net earnings by $48,000. Would this information affect the decision that you made in Requirement a? Complete this question by entering your answers in the tabs below. Required Required Required Required A B1 B2C Calculate the contribution margin. Determine whether to eliminate the children's department. (Negative amounts should be indicated by a minus sign.) Contribution to profit loss) Should the children's department be eliminated? Required A Required B1 > Thornton Boot Co. seis 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 star of nine povees, the manager of the women's department has sex 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 expected to continue to do so. Last year's income statements follow: Cost of goods sold Gross margin Department manager salary Sales comissions Rent on store lease Store utilities Net Income (Loss) Hon's Department $ 700,000 (273,500) 426,500 (68,000) (122,200) (37,000) (20,000) $ 179,300 Women's Department $500,000 182,800 317,200 (57,000) (91,600) (37,000) (20,000) $ 111,600 Children's Department $200,000 1 04,875) 95, 125 (37,000) (35,900) (37,000) 120.000 $ (34,775) Required a. Calculate the contribution margin. Determine whether to eliminate the children's department b-1. Calculate the net Income for the company as a whole with the children's department. -2. Confirm the conclusion you reached in Requirement a by preparing income statements for the company 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 aduit boots would increase the store's net earnings by $48,000. Would this information affect the decision that you made in Requirement a? Complete this question by entering your answers in the tabs below. Required Required Required Required A B1 B2C Calculate the net income for the company as a whole with the children's department. Net Income loss Thornton Boot Co se smen's, women's and ch dren's boots for each type of boot sold toperates a separate department that has its own manager. The manager of the men's department has a sales staronne en ovees, the manager of the women's department has six employees, and the manager of the children's department has three employees. Al departments are housed in a single store. In recent years, the children's department has operated at a net loss and expected to continue to do so. Last year's income statements Follow Cont of goods sold Gross Bagin Department manager's salary Sales commissions Rent on store lonso Store utilities Net Income (los) Men's Women's Children's Department Department Department $ 700,000 $500,000 $200,000 (273,500) (182, 800) 104,875) 426,500 317,200 95, 125 (68,000) (57,000) (37,000) (122,200) (91,600) (35,900) (37,000) (37,000) (37,000) (20,000) (20, 000) (20,000) $ 179,300 $ 111,600 $ 4.775 Required a. Calculate the contribution margin. Determine whether to eliminate the children's department D-1. Calculate the net income for the company as a whole with the children's department. D-2. Confirm the conclusion you reached in Requirement aby preparing income statements for the company 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 $48,000. Would this information affect the decision that you made in Requirement a? Complete this question by entering your answers in the tabs below. Required Required Required Required B1 B2 Confirm the conclusion you reached in Requirement a by preparing income statements for the company without the children's department. Men's Women's Compan Department DepartmentTotal Sales Cost of goods sold Gross margin Department manager's salary Sales commissions Renton store lease Store utilities Net income (loss) Thornton Boot Co. se smens, women's, and children's boots. For each type of boot sold, t operates a separate department that has its own manager. The manager of the men's department has a sales stof nine employees the manager of the women's department has sex 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: Sales Cost of goods sold Cross margin Department manager's salary Sales commissions Pontonatore loane Store utilities Net Income (OS) Men's Department $ 700,000 (273,500) 426,500 (68,000) 122,200) (37,000) (20,000) $ 179,300 Women's Department $500,000 (182, 800) 317,200 (57,000) (91,600) (37,000) (20,000) $111.600 Chidren's Department $200,000 104,875) 95,125 (37,000) (35,900) (37,000) (20,000) $ (34,775) Required a. Calculate the contribution margin. Determine whether to eliminate the children's department -1. Calculate the net income for the company as a whole with the children's department. b-2. Confirm the conclusion you reached in Requirement aby preparing income statements for the company 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 aduit boots would increase the store's net earnings by $48,000. Would this information affect the decision that you made in Requirement a? Complete this question by entering your answers in the tabs below. Required Required Required Required B1 B2 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 $48,000. Would this information affect the decision that you made in Requirement a? Show less Will the decision made in Requirement a be affected?