Cherokee Incorporated is a merchandiser that provided the following information: 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 Required: 1. Prepare a traditional income statement. 2. Prepare a contribution format income statement. Amount 20,000 $ 30 $ 4 $ 2 $ 40,000 $ 30,000 $ 24,000 $ 44,000 $ 180,000 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a contribution format income statement. Cherokee, Incorporated Contribution Format Income Statement Sales Variable expenses: Cost of goods sold 160,000 Selling expenses 80,000 Administrative expenses 40,000 Beginning merchandise inventory Cost of goods sold Contribution margin Fixed expenses: Selling expenses 40,000 Administrative expenses 30,000 Direct labor Beginning merchandise inventory Net operating income $ 600,000 280,000 70,000 < Required 1 Required 2 >