2. Zen Company Income Statement For the month ended September 30 Sales Cost of good sold Gross margin $750,000 (660,000) 90,000 Selling and Administration expense: Selling expenses 20,000 Administration expense 10,000 Net operating income (30,000) 60,000 Zen company sell its shoes for $750 per pair. Cost of goods sold is a mixed expense and the variable expense to produce shoes is $320 per pair. The full admin cost is variable. In terms of selling expenses, the sales commission per pair is $5 and the remaining are the fixed salaries of sales people. Requirement a. Prepare a contribution format income statement. Find the contribution of each pair of shoes toward covering fixed cost (7 marks)