Martsey & Brown, Ltd., of Sydney, Australia merchandising firm that is the sole distributor of a product that is increasing in popularity among Australian consumers. The company's income statements for the three most recent MORRISEY & BROWN, LTD. Income Stateme For the Four Quarters Ending December 35 Less: Cost of goods sold Gross margin Less: Operating expe Adveting exper Shipping Sales and commissions Quarter Quarter 2 Quater AS 600,000 AS 550,000 A000 A$610,000 300,000 330,000 408,000 366,000 243.500 220.000 22.00 244,000 22,500 22,500 22,500 22,500 17,000 81,000 96,000 3.700 7,500 7.500 1500 16,500 15600 16,500 16,500 103.500 190,300 AS Depreciation expense Net income 6.500 A$ 50.500 A$ 81,700 A$ 62,100 Note: Morrisey & Brown, Lids Australian fated income statement has been recast into the format commi Canada. The Australian dollar is denoted by AS.) Required 1. Identity each of the company's experses (including cast of goods sold) as being variable, fixed, or mised. Cost of goods sold Advertising expense Sales and com Depreciation expense Classification 2- Using the high-low method, separate each mixed expense into variable and fixed elements. inteducation.comvisplices/GETWINC7SPINY ALLENHOOUSUTNU.eyJxZjcmvbWVudC1h@yb2QLC.MQUQLCJ... 1/4 7:42 2:42 AS Assignment View Variable Coat Fixed Cast AS 2-b. Using the high-low method state the cost formula for each med expens +AS +AS 3. Redo the company's income statement at the 6,800-unit level of activity using the contribution format Lea Vara Les Food exper HE}}\ME=#y/HGOIOUBUHINJE #NIZjcmUBWVG+CKSH@y6ZQLCJpc2MQUCJ. 24 Assignment View MORRISEY & BROWN, LTD. Contribution MarginIncome Statement For the Quarter Ended September 30 AS 4. Assume that the company's sales are projected to be 5,250 units in the next quarter. Prepare a contribution margin income statement. Lea Vara Less Fixed exper MORRISEY & BROWN, LTD Contribution Margin Projected Inces For the Quarter Ended March 31 AS