5 Cherokee Inc. is a merchandiser that provided the following information: 1 points Number of units sold Selling price per unit Variable selling expense per unit Variable administrative expense per unit Total fixed selling expense Total fixed administrative expense Beginning merchandise inventory Ending merchandise inventory Merchandise purchases Amount 20,000 $ 30 $ 4 $ 2 $ 40,000 $ 30,000 $ 24,000 $ 44,000 $ 180,000 5 Required: 1. Prepare a traditional income statement. 2. Prepare a contribution format income statement. 1 points X Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a traditional income statement. Cherokee, Inc. Traditional Income Statement $ 600,000 160,000 440,000 Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses $ 120.000 70,000 190,000 $ 250,000 Net operating income 5 Required: 1. Prepare a traditional income statement. 2. Prepare a contribution format income statement. 1 points Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a contribution format income statement. :.................. 600,000 Cherokee, Inc. Contribution Format Income Statement Sales $ Variable expenses Cost of goods sold 160,000 Selling expenses 80,000 Administrative expenses 40,000 280,000 320,000 Fixed expenses Selling expenses Administrative expenses 40,000 30,000 70,000 $ 250,000 Net operating income