Fanelli Corporation, a merchandising company, reported the following results for July:

Number of units sold		6,500
Selling price per unit	$	610
Unit cost of goods sold	$	417
Variable selling expense per unit	$	58
Total fixed selling expense	$	126,000
Variable administrative expense per unit	$	26
Total fixed administrative expense	$	207,900

Cost of goods sold is a variable cost in this company.

Required:

a. Prepare a traditional format income statement for July.

b. Prepare a contribution format income statement for July.