Milden Company is a merchandiser that plans to sell 39,000 units during the next quarter at a selling price of $55 per unit. The company also gathered the following cost estimates for the next quarter:

Cost	Cost Formula
Cost of good sold	$28 per unit sold
Advertising expense	$185,000 per quarter
Sales commissions	6% of sales
Shipping expense	$51,000 per quarter + $4.00 per unit sold
Administrative salaries	$95,000 per quarter
Insurance expense	$10,500 per quarter
Depreciation expense	$65,000 per quarter

Required:

1. Prepare a contribution format income statement for the next quarter.

2. Prepare a traditional format income statement for the next quarter.

Prepare a contribution format income statement for the next quarter. Milden Company Contribution Format Income Statement For the Next Quarter Sales ariable expenses Cost of goods sold Sales commission Shipping expense Total variable expenses Contribution margin Fixed expenses: Total fixed expenses