yeli Hernandez YouTube E Menu My Sub Departmental Income Statement Elgin Flooring Company sells floor coverings through two departments, carpeting and hard covering (tile and linoleum). Operating information for 2016 appears below Carpeting Department Hard Covering Department $26,000 30,000 480,000 362,000 8,000 Inventory. January 1,2016 Inventory, December 31, 2016 Net sales $60,000 50,000 780,000 484,000 28,000 16,000 18,000 108,000 Purchases Purchases returns Purchases discounts Transporation in Traceable departmental expenses 4,000 14,000 56,000 Common operating expenses of the firm were $120,000. a. Prepare a departmental income statement showing departmental contribution to common expenses and net income of the firm. Assume an overall effective income tax rate of 35%. Elgin uses a periodic inventory system. Do not use negative signs with any of your answers below Elgin Flooring Company Departmental Income Statement For the Year Ended December 31, 2016 Total Carpeting Department Hard Covering Department Net sales Cost of goods sold: Inventory, January 1, 2016 Purchases Purchases returns