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

Number of units sold		5,900
Selling price per unit	$	600
Unit cost of goods sold	$	411
Variable selling expense per unit	$	68
Total fixed selling expense	$	125,400
Variable administrative expense per unit	$	24
Total fixed administrative expense	$	207,300

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.

Prepare a traditional format income statement for July.

Fanelli Corporation
For the month of July
Traditional Income Statement
		0
Selling and administrative expenses:
		0
		$0

Requirment B.

Prepare a contribution format income statement for July.

Fanelli Corporation
For the month of July
Contribution Format Income Statement
Variable expenses:
		0
		0
Fixed expenses:
		0
		$0