Williams Company began operations in January 2019 with two operating (selling) departments and one service (office) department. Its departmental income statements follow. WILLIAMS COMPANY
Departmental Income Statements
For Year Ended December 31, 2019
ClockMirrorCombined
Sales$170,000 $85,000 $255,000
Cost of goods sold 83,300 52,700 136,000
Gross profit 86,700 32,300 119,000
Direct expenses
Sales salaries 22,000 6,900 28,900
Advertising 1,700 600 2,300
Store supplies used 500 550 1,050
Depreciation—Equipment 1,700 900 2,600
Total direct expenses 25,900 8,950 34,850
Allocated expenses
Rent expense 7,060 3,780 10,840
Utilities expense 2,800 2,500 5,300
Share of office department expenses 12,500 5,000 17,500
Total allocated expenses 22,360 11,280 33,640
Total expenses 48,260 20,230 68,490
Net income$38,440 $12,070 $50,510

Williams plans to open a third department in January 2020 that will sell paintings. Management predicts that the new department will generate $45,000 in sales with a 65% gross profit margin and will require the following direct expenses: sales salaries, $9,000; advertising, $1,100; store supplies, $700; and equipment depreciation, $400. It will fit the new department into the current rented space by taking some square footage from the other two departments. When opened, the new Painting department will fill one-fifth of the space presently used by the Clock department and one-fourth used by the Mirror department. Management does not predict any increase in utilities costs, which are allocated to the departments in proportion to occupied space (or rent expense). The company allocates office department expenses to the operating departments in proportion to their sales. It expects the Painting department to increase total office department expenses by $7,100. Since the Painting department will bring new customers into the store, management expects sales in both the Clock and Mirror departments to increase by 13%. No changes for those departments’ gross profit percents or their direct expenses are expected except for store supplies used, which will increase in proportion to sales.

Required:
Prepare departmental income statements that show the company’s predicted results of operations for calendar-year 2020 for the three operating (selling) departments and their combined totals. (Do not round intermediate calculations. Round your final answers to nearest whole dollar amount.)