Willame Cuensany Additional Information: Thr esmpary plans to open a third department in Janixary 2014 that will sell paintings. Alanngement predicts that the new department will generate $50,000 in sales with o 55% gross profit margin and will mequire the following operating expenses: sales salaries $8,000; advertising $800; Store Supplies $500; and Depreciation-Equipment $200. For the year Frided Dezemben 31, 2013 Combined It will th the new department inta the current rented space hy taking some square 87,800 from - the other - who depsirflients. When opened the new painting deparfment will fill uswd by the mieror de partient. Management does not predict any increase in utilities costs, which are allocated to the departments in proportion to occupied space (or rent expense). Operatirg Expensio: Ades Solarie- Stars Sipplies Used ( ( \% incriana) Depreciation-Equipmsnli Total Operating Expenses Truanie from Operations biefare service except for store supplies used, which will increase in proportion to sales. bepuriment Charges (Inainerel fxpenses) 55,400 fiequirements: Prepare a departanentri income statement that shows the sanpany's Semice Lewirl mentichofges (Indiutil Expenses) Renl Expense. Utilitin: txpense Offica: Deportrient Exgerries Total Serviris Bepantiment Charrus Income from Qperations firidicted results of aperotion for the calenidar year 2014 for the three profit 10.800 centers initi thein combinea latalsi 1000 15,000 Operating expenses and Service Department Charges must be seperately listed on the departmental 24,800 Income 5tatement. Prepare a sepusnte sheet thal includes all the required calculations for the new department (Pruntings) 25,600 ind the revised culoulations for the clock \& murror department'; Willame Cuensany Additional Information: Thr esmpary plans to open a third department in Janixary 2014 that will sell paintings. Alanngement predicts that the new department will generate $50,000 in sales with o 55% gross profit margin and will mequire the following operating expenses: sales salaries $8,000; advertising $800; Store Supplies $500; and Depreciation-Equipment $200. For the year Frided Dezemben 31, 2013 Combined It will th the new department inta the current rented space hy taking some square 87,800 from - the other - who depsirflients. When opened the new painting deparfment will fill uswd by the mieror de partient. Management does not predict any increase in utilities costs, which are allocated to the departments in proportion to occupied space (or rent expense). Operatirg Expensio: Ades Solarie- Stars Sipplies Used ( ( \% incriana) Depreciation-Equipmsnli Total Operating Expenses Truanie from Operations biefare service except for store supplies used, which will increase in proportion to sales. bepuriment Charges (Inainerel fxpenses) 55,400 fiequirements: Prepare a departanentri income statement that shows the sanpany's Semice Lewirl mentichofges (Indiutil Expenses) Renl Expense. Utilitin: txpense Offica: Deportrient Exgerries Total Serviris Bepantiment Charrus Income from Qperations firidicted results of aperotion for the calenidar year 2014 for the three profit 10.800 centers initi thein combinea latalsi 1000 15,000 Operating expenses and Service Department Charges must be seperately listed on the departmental 24,800 Income 5tatement. Prepare a sepusnte sheet thal includes all the required calculations for the new department (Pruntings) 25,600 ind the revised culoulations for the clock \& murror department