Cherokee Inc. is a merchandiser that provided the following information: Amount Number of units sold Selling price per unit 11,000 $ 16 Variable selling expense per unit $ 1 Variable administrative expense per unit $ 3 Total fixed selling expense $20,000 Total fixed administrative expense $14,000 Beginning merchandise inventory $10,000 Ending merchandise inventory $24,000 Merchandise purchases $89,000 Required: 1. Prepare a traditional income statement. 2. Prepare a contribution format income statement. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a traditional income statement. Sales Cherokee, Inc. Traditional Income Statement $ 176,000 75,000 101,000 Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses $ 31,000 Administrative expenses 47,000 Net operating income 78,000 $ 23,000