13. Georgies Grooming is a competitor of Buddy Grooming. Georgie Oliver, owner, incurred the following operating costs to groom 2,700 dogs for the first quarter of 2011 (January, February, and March)

Georgies Grooming earned $46,300 in revenues for the first quarter of 2011.

Requirements

R1. Prepare an income statement for the first quarter of 2011. Compute the ratio of operating expense to total revenue and operating income to total revenue.

R2. Compute Georgies unit cost to groom one dog.

$16,700 4,000 2,500 1,100 300 Wages . - Grooming supplies expense Utilities . . . Depreciation on furniture and equipment