Cranford Cars Ltd operates a car sales business with two locations — new cars and second-hand cars. The company’s accountant has prepared an income statement for the year ending 30 June 2017.

	Cranford cars ltd Income Statement for the year ended 30 June 2017
	INCOME Sales Cost of sales: Beginning inventory Purchases	$	263 000 646 600		$	1 130 000
	Goods available for sale Ending inventory		909 600   222 000
	Cost of sales					687 600
	GROSS PROFIT EXPENSES Advertising Salaries Insurance Depreciation Supplies Interest		47 700 132 500 45 600 18 000 27 500   38 160			442 400
	Total expenses					309 460
	PROFIT				$	132 940

The beginning inventory of new cars was $185 000, and Ending inventory was $157 000. The beginning inventory for the second-hand cars was $78 000, and Ending inventory was $65 000.

The company’s records indicate that the following percentages of each expense or revenue are directly chargeable to the departments. Any balance left in an expense account is an indirect expense.

	New cars		Second-hand cars
Sales revenue Purchases Advertising Salaries Insurance Depreciation Supplies	70% 53% 43% 34% 36% 19% 35%			30% 47% 32% 21% 26% 23% 33%

Required

Prepare a departmental income statement for the year ending 30 June 2017 that shows the departmental contribution for each department.