Cherokee Incorporated is a merchandiser that provided the following information:

Amount

Number of units sold $11,000$

Selling price per unit $ $16$

Variable selling expense per unit $ $2$

Variable administrative expense per unit $ $1$

Total fixed selling expense $ $20,000$

Total fixed administrative expense $ $15,000$

Beginning merchandise inventory $ $8,000$

Ending merchandise inventory $ $23,000$

Merchandise purchases $ $86,000$

Required:

Prepare a traditional income statement.

Prepare a contribution format income statement.