Question

Redhawk, Inc., is a merchandiser that provided the following information:
Number of units sold............. 10,000
Selling price per unit............. $15
Variable selling expense per unit......... $2
Variable administrative expense per unit...... $1
Total fixed selling expense........... $20,000
Total fixed administrative expense........ $15,000
Merchandise inventory, beginning balance..... $12,000
Merchandise inventory, ending balance....... $22,000
Merchandise purchases............. $90,000

Required:
1. Prepare a traditional income statement.
2. Prepare a contribution format income statement.



$1.99
Sales9
Views688
Comments0
  • CreatedSeptember 27, 2013
  • Files Included
Post your question
5000