2 Rope Company is a retail store with two operating departments, Clothes and Shoes. Information follows. (26 points) For Year Ended December 31 Sales Cost of goods sold Direct expenses: Wages Supplies used Depreciation Clothes $ 812,500 Shoes $437,500 405,000 284,375 118,000 86,000 18,000 10,300 17,500 12,500 The company reports the following indirect expenses for the year. Indirect Expense Utilities Supervisor salaries Amount $ 6,400 31,000 Allocation Base Square feet of space occupied Number of employees in department Additional information about the two departments follows. Department Clothes Shoes Square Footage 28,700 12,300 Prepare departmental income statements. Number of Employees 70 30