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Explain Answer Show work The following income statements illustrate different cost structures for two competing companies Income Statements Compan any Name Number of customers (a)

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The following income statements illustrate different cost structures for two competing companies Income Statements Compan any Name Number of customers (a) Sales revenue (a $210) Variable cost (a x $190) variable cost (a $0) Contribution margin Fixed cost Net income Gibson 86 $ 18,060 N/A Franklin 86 $18,060 (16,340) N/A 1,720 18,060 16,340) $ 1,720 $ 1,720 Required a. Reconstruct Gibson's income statement, assuming that it serves 172 customers when it lures 86 customers away from Franklin by lowering the sales price to $110 per customer b. Reconstruct Franklin's income statement, assuming that it serves 172 customers when it lures 86 customers away from Gibson by lowering the sales price to $110 per customer

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