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Problem 22-4A Departmental contribution to income LO P3 Vortex Company operates a retail store with two departments. Information about those departments follows Sales Cost of goods sold Direct expenses Department A Department $441,000 286, 650 $819,000 430,000 Salaries Insurance Utilities Depreciation Maintenance 121,000 13,000 23,000 16,500 6,300 84,000 10,100 26,000 13,500 5,600 The company also incurred the following indirect costs Salaries Insurance Depreciation Office expenses $32,000 7,200 14,000 49,000 Indirect costs are allocated as follows: salaries on the basis of sales, insurance and depreciation on the basis of square footage; and office expenses on the basis of number of employees. Additional information about the departments follows Department Square footage 30,100 12,900 Number of employees Required: 1. Determine the departmental contribution to overhead and the departmental net income for department A and Department B. (Do not round intermediate calculations. Round your final answers to nearest whole dollar.

 

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