Jay Corporation has provided data from a two-year period to aid in planning. The Controller has asked you to prepare a contribution format income statement. Use the information included in the Excel Simulation and The Excel functions described below to complete the task.
€¢ Cell Reference
Allows you to refer to data from another cell in me worksheet, From the Excel Simulation below, If in a blank cell, =B4 was entered. the formula would output the result from cell B4, or 17000 in this example.
€¢ Basic Math functions:
Allows you to use the basic math symbols to perform mathematical functions. You can use the following keys €¢ (plus sign to add). (Minus sign to subtract) (Asterisk sign to multiply) and (forward slash to divide). From Inc Excel Simulation below, it in a blank cell Bl9+B20 was entered. The formula would add the values from. Those cells and output the result, or 183,800 In this example. If using the other math symbols the result would output an appropriate answer for is function.
€¢ SUM function:
Allows you to refer to multiple cells and adds al the val.aes. You can add individual cell references or ranges to utilize this function. From the Excel Simulation below. If in a blank cell = SUM (CI8, C19, C20) was entered, the formula would output the result of adding those three separate cells, or 47,300 In INs example. Similarly, If In a blank cell =SUU(C18:C20) was entered, the formula would output the same result of adding those cells, except they are expressed as a range in the formula, and the result would be 47,300 in this example.

1. Using the high-low method determine a cost formula for shipping expenses.

2. Prepare a contribution format income statement for Quarter 1 of year 3.

1 To aid in planning, Jay Corporation is preparing a contribution format income statement. 3 Budgeted information for Quarter 1 of Year 3: 4 Sales in units 17,000 Sales price per unit 48.00 6. 7 After analyzing expenses, the company has determined the following cost patterns. Cost of goods sold 29.00 per unit Sales commissions 9.50% per dollar of sales 10 11 Administrative salaries 45,000.00 per quarter 12 Rent expense 27,000.00 per quarter 13 Depreciation expense 36,000.00 per quarter 14 15 Management has concluded that shipping expense is a mixed cost. Units shipped and the related shipping cost over the last eight quarters are: 16 Total Shipping Cost 17 Year 1 Units 18 Quarter 1 67,000.00 12,500 19 Quarter2 94,000.00 21,000 20 Quarter 3 89,800.00 13,800 21 Quarter 4 92,600.00 20,000 Year 2 Quarter 1 Quarter2 Quarter 3 Quarter 4 13,700 14,000 72,500.00 80,000.00 100,000.00 14,300 22,500 Use the data to answer the following.