Conlon Enterprises reports the following information about resources.

	Cost Driver Rate			Cost Driver Volume
Resources used
Setups	$	305	per run	360	runs
Clerical		45	per page	1,200	pages typed
Resources supplied
Setups	$	113,650
Clerical		69,200

Sales revenue totaled $250,000.

A. Prepare a traditional income statement.

Traditional Income Statement
Sales revenue
Setup costs
Clerical costs
Operating profit

B. Prepare an activity-based income statement.

Activity-Based Income Statement
	Resources Used	Unused Resource Capacity	Resources Supplied
Sales revenue
Costs
Volume related - Clerical
Batch related - Setups
Total costs
Operating profits