Milden Company is a distributor who wants to start using a contribution format income statement for planning purposes. The company has analyzed its expenses and developed the following cost formulas Cost Cost Formula Cost of good sold 527 per unit sold Advertising expense $184,000 per quarter Sales comissions 7% of sales Shipping expense Administrative salaries $94,000 per quarter Insurance expense $10,400 per quarter Depreciation expense 364,000 per quarter Because shipping expense is a mixed cost, the company needs to estimate the variable shipping expense per unit sold and the fixed shipping expense per quarter using the following data Units Sold Shipping Expense Quarter Year 1: First Second Third Fourth Year 2: First Second Third Fourth 30,000 32,000 37,000 33,000 5.174,000 $ 189,00 $ 231,00 $ 194,000 31,000 34,000 44,400 $184,000 199,000 $ 246,000 $ 222,000 Required: 1. Using the high-low method, estimate a cost formula for shipping expense in the form Yox 2. In the first quarter of Year 3, the company plans to sell 37000 units at a selling price of $55 per unit. Prepare a contribution format income statement for the quarter. Complete this question by entering your answers in the tabs below, Complete this question by entering your answers in the tabs below. Required 1 Required 2 Using the high-low method, estimate a cost formula for shipping expense in the form Y = a + bx. (Round the Vanable cost por unit to 2 decimal places 24.000 + S 8.00 X Required 1 Required 2 In the first quarter of Year 3, the company plans to sell 37,000 units at a selling price of $55 per unit. Prepare a contribution format income statement for the quarter. Milden Company Budgeted Contribution Format Income Statement For the First Quarter, Year 3 Sales $ 2.035,000 Variable expenses Cost of goods sold 999,000 Shipping expense 184,000 Sales commissions 142.450 Total variable expenses 1,325,450 700.550 Fored expenses Advertising expense Shipping expense Administrative salaries Insurance expense Depreciation expense Total fixed expenses 0 700.550 $