Cherokee Inc. is a merchandiser that provided the following information:

Number of units sold		14,000
Selling price per unit	$	15
Variable selling expense per unit	$	2
Variable administrative expense per unit	$	1
Total fixed selling expense	$	21,000
Total fixed administrative expense	$	16,000
Beginning merchandise inventory	$	9,000
Ending merchandise inventory	$	26,000
Merchandise purchases	$	88,000

Required:
1.	Prepare a traditional income statement.

2.	Prepare a contribution format income statement.