Leidenheimer Corporation manufactures small airplane propellers. Sales for year 2 totaled $1,790,000. Information regarding resources for the month follows.

	Resources Used				Resources Supplied
Parts management	$	58,000			$	68,000
Energy		109,000				109,000
Quality inspections		89,000				109,000
Long-term labor		50,000				72,000
Short-term labor		40,000				54,000
Setups		145,000				210,000
Materials		320,000				320,000
Depreciation		130,000				210,000
Marketing		138,000				158,000
Customer service		21,000				42,000
Administrative		108,000				131,000

In addition, Leidenheimer spent $45,000 on 50 engineering changes with a cost-driver rate of $900 and $57,600 on 8 outside contracts with a cost driver rate of $7,200.

Required:

Management has requested that you do the following:

a. Prepare a traditional income statement.

b. Prepare an activity-based income statement.

Prepare a traditional income statement. Traditional Income Statement Total costs 0 $ CA 0 Prepare an activity-based income statement. Activity-Based Income Statement Unused Resources Resource Used Capacity Resources Supplied Costs Unit $ 0 $ 0 $ 0 Batch $ 0 $ 0 $ 0 Product and customer sustaining Product and customer sustaining $ 0 $ 0 $ 0 Capacity sustaining $ 0 $ 0 0 $ 0 $ Total costs $ 0 $ 0 0 $ 0