Required $2$

Prepare a contribution format income statement for August. Show costs and revenues on both a total and a per$-$unit basis

down through contribution margin.

Note: A "Net operating loss" should be entered as a negative number.Marwick$$s Pianos, Incorporated, purchases pianos from a manufacturer for an average cost of $$1,485$ per unit and then sells them to retail customers for an average price of $$2,400$ each. The company$$s selling and administrative costs for a typical month are presented below:

Costs Cost Formula

Selling:

Advertising $$946$ per month

Sales salaries and commissions $$4,819$ per month, plus $4\%$ of sales

Delivery of pianos to customers $$62$ per piano sold

Utilities $$646$ per month

Depreciation of sales facilities $$4,953$ per month

Administrative:

Executive salaries $$13,426$ per month

Insurance $$692$ per month

Clerical $$2,488$ per month, plus $$45$ per piano sold

Depreciation of office equipment $$943$ per month

During August, Marwick$$s Pianos, Incorporated, sold and delivered $65$ pianos.

Required:

Prepare a traditional format income statement for August.

Prepare a contribution format income statement for August. Show costs and revenues on both a total and a per$-$unit basis down through contribution margin.Marmick's Planos, Incorporated, purchases planos from a manufacturer for an average cost of $$1,485$ per unit and then sells them to

retall customers for an average price of $$2,400$ each. The company's selling and administrative costs for a typical month are presented

below:

Durling August, Marwck's Planos, Incorporated, sold and delivered $65$ planos.

Required:

Prepare a traditional format Income statement for August.

Prepare a contribution format income statement for August. Show costs and revenues on both a total and a per$-$unlt basis down

through contribution margin.

Complete this question by entering your answers in the tabs below.

Prepare a traditional format income statement for August.

Note: A "Net operating loss" should be entered as a negative number.