Marwick's Pianos, Inc., purchases pianos from a large manufacturer and sells them at the retail level. The pianos cost, on the average, $1,481 each from the manufacturer. Marwick's Pianos, Inc., sells the pianos to its customers at an average price of $2,200 each. The selling and administrative costs that the company incurs in a typical month are presented below Costs Selling: Cost Formula Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities $936 per month $4,793 per month, plus 5% of sales $60 per piano sold $643 per month $5,025 per month Administrative: Executive salaries Insurance Clerical Depreciation of office equipment $13,451 per month $699 per month $2,535 per month, plus $40 per piano sold $920 per month During August, Marwick's Pianos, Inc., sold and delivered 61 pianos. Required 1. Prepare an income statement for Marwick's Pianos, Inc., for August. Use the traditional format, with costs organized by function. (A "Net operating loss" should be entered as a negative number.) Marwick's Pianos, Inc. Traditional Income Statement For the Month of August Selling and administrative expenses: Selling expenses