Hosmer Industries provides the following information about resources and usage:

	Unused Resources Capacity	Cost Driver Volume
Resources used
Materials	$ 5,300	6,400	pounds
Power	3,794	272	hours
Setups	1,900	62	setups
Purchasing	4,420	64	purchase orders
Client assistance	18,340	40	inquiries
Supervision	8,260	256	labor-hours
Facility cost	6,820	3,360	square meters
Resources supplied
Materials	$ 267,700
Power	44,322
Setups	58,010
Purchasing	53,700
Client assistance	37,740
Supervision	70,980
Facility cost	84,100

Sales revenue for Hosmer Industries is $770,000.

Required:

Prepare a traditional income statement.

Prepare an activity-based income statement.