Marwick's Pianos, Incorporated, purchases planos from a large manufacturer for an average cost of $1,518 per unit and then sells them to retail customers for an average price of $2,300 each. The company's selling and administrative costs for a typical month are presented below: Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: Executive salaries Insurance Clerical Depreciation of office equipment Cost Formula $965 per month. $4,788 per month, plus 5% of sales $58 per piano sold $630 per month $4,913 per month $13,496 per month $693 per month $2,543 per month, plus $36 per piano sold $938 per month During August, Marwick's Pianos, Incorporated, sold and delivered 57 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. Variable expenses: Sales salaries and commissions 5,019 5,019 Delivery of pianos 3,306 58 Clerical 2,543 36 Total variable expenses 10,868 5,113 Contribution margin Fixed expenses: Advertising 965 Utilities 630 Depreciation of sales facilities 4,913 Executive salaries 13,496 Insurance 693 Depreciation of office equipment 938 Total fixed expenses 21,635