Marwicks Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,482 per unit and then sells them to retail customers for an average price of $2,600 each. The companys selling and administrative costs for a typical month are presented below:

Costs	Cost Formula
Selling:
Advertising	$948 per month
Sales salaries and commissions	$4,773 per month, plus 3% of sales
Delivery of pianos to customers	$59 per piano sold
Utilities	$632 per month
Depreciation of sales facilities	$4,928 per month
Administrative:
Executive Salaries	$13,472 per month
Insurance	$701 per month
Clerical	$2,537 per month, plus $35 per piano sold
Depreciation of office equipment	$888 per month

During August, Marwicks Pianos, Inc., sold and delivered 58 pianos.

Required:

1. Prepare a traditional format income statement for August. 2. Prepare a contribution format income statement for August. Show costs and revenues on both a total and a per unit basis down through contribution margin.