Exercise 1-6 Traditional and Contribution Format Income Statements Cherokee Inc. 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 20,000 $30 $2 $40,000 $30,000 $24,000 $44,000 $180,000 1 Prepare a traditional income statement. 2 Prepare a contribution format income statement