Marwick's Pianos, Incorporated, purchases pianos from a large manufacturer for an average cost of $1,505 per unit and then sells them to retail customers for an average price of $2,700 each. The company's selling and administrative costs for a typical month are presented below:

Costs Cost Formula Selling: Advertising $ 934 per month Sales salaries and commissions $ 4,774 per month, plus 5% of sales Delivery of pianos to customers $ 60 per piano sold Utilities $ 664 per month Depreciation of sales facilities $ 5,082 per month Administrative: Executive salaries $ 13,428 per month Insurance $ 707 per month Clerical $ 2,540 per month, plus $41 per piano sold Depreciation of office equipment $ 923 per month During August, Marwick's Pianos, Incorporated, 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.For the Month of August Selling and administrative expenses: Selling expenses: Total selling expenses 0 Administrative expenses: Total administrative expenses 0 Total selling and administrative expensesMarwick's Pianos, Incorporated Contribution Format Income Statement For the Month of August Total Per Piano Variable expenses: Total variable expenses 0 Contribution margin Fixed expenses: Total fixed expenses 0