Cosgrove Company, Inc. is a wholesaler that distributes a single product. The company's revenues and expenses for the last three months are given below:

Cosgrove Company Traditional Format Income Statement For the Three Months Ended June 30
	April	May	June
Sales in Units	3,000	3,750	4,500
Sales Revenue	420,000	525,000	630,000
Cost of Goods Sold	168,000	210,000	252,000
Gross Margin	252,000	315,000	378,000
Selling and Administrative Expenses:
Shipping Expense	44,000	50,000	56,000
Advertising Expense	70,000	70,000	70,000
Salaries and Commissions	107,000	125,000	143,000
Insurance Expense	9,000	9,000	9,000
Depreciation Expense	42,000	42,000	42,000
Total Selling and Administrative Expenses	272,000	296,000	320,000
Net Operating Income (Loss)	$(20,000)	$19,000	$58,000

Required:

1. Identify the fixed and variable costs associated with Cosgrove.
2. Calculate the average costs per month.

There is not a word length requirement for this question; however, you must show your work.