Jansen Company reports the following for its ski department for the year 2015. All of its costs are direct, except as noted.
Sales $ 600,000
Cost of goods sold 435,000
Salaries 114,000 ($25,200 is indirect)
Utilities 14,400 ($5,100 is indirect)
Depreciation 51,600 ($17,100 is indirect)
Office expenses 25,400 (all indirect)
1. Prepare a departmental income statement for 2015.
2. Prepare a departmental contribution to overhead report for 2015.