Williams Company began operations in January 2019 with two operating (selling) departments and one service (office) department. Its departmental income statements follow.

WILLIAMS COMPANY Departmental Income Statements For Year Ended December 31, 2019
	Clock			Mirror			Combined
Sales	$	250,000		$	125,000		$	375,000
Cost of goods sold		122,500			77,500			200,000
Gross profit		127,500			47,500			175,000
Direct expenses
Sales salaries		22,500			7,600			30,100
Advertising		1,700			300			2,000
Store supplies used		650			300			950
DepreciationEquipment		1,700			600			2,300
Total direct expenses		26,550			8,800			35,350
Allocated expenses
Rent expense		7,080			4,020			11,100
Utilities expense		3,000			2,100			5,100
Share of office department expenses		12,000			8,500			20,500
Total allocated expenses		22,080			14,620			36,700
Total expenses		48,630			23,420			72,050
Net income	$	78,870		$	24,080		$	102,950

Williams plans to open a third department in January 2020 that will sell paintings. Management predicts that the new department will generate $54,000 in sales with a 45% gross profit margin and will require the following direct expenses: sales salaries, $8,000; advertising, $700; store supplies, $500; and equipment depreciation, $400. It will fit the new department into the current rented space by taking some square footage from the other two departments. When opened, the new Painting department will fill one-fifth of the space presently used by the Clock department and one-fourth used by the Mirror department. Management does not predict any increase in utilities costs, which are allocated to the departments in proportion to occupied space (or rent expense). The company allocates office department expenses to the operating departments in proportion to their sales. It expects the Painting department to increase total office department expenses by $8,300. Since the Painting department will bring new customers into the store, management expects sales in both the Clock and Mirror departments to increase by 14%. No changes for those departments gross profit percents or their direct expenses are expected except for store supplies used, which will increase in proportion to sales. Required: Prepare departmental income statements that show the companys predicted results of operations for calendar-year 2020 for the three operating (selling) departments and their combined totals. (Do not round intermediate calculations. Round your final answers to nearest whole dollar amount.)

WILLIAMS COMPANY
Forecasted Departmental Income Statements
For Year Ended December 31, 2020
	Clock	Mirror	Paintings	Combined
Sales
Cost of goods sold
Gross profit	0	0	0	0
Direct expenses
Sales salaries
Advertising
Store supplies used
Depreciation of equipment
Total direct expenses	0	0	0	0
Allocated expenses
Rent expense
Utilities expense
Share of office dept. expenses
Total allocated expenses	0	0	0	0
Total expenses	0	0	0	0
Net income	$0	$0	$0	$0