Morrisey & Brown, Ltd. of Sydney is a merchandising company that is the sole distributor of a product that is increasing in popularity among Australian consumers. The company's income statements for the three most recent months follow: August 4,750 $ 498,750 299,250 199,500 September 5.250 $ 551, 250 330, 750 220, 500 Morrisey & Brown, Ltd. Income Statements For the Three Months Ended September 30 July Sales in units 4,250 Sales $ 446, 250 Cost of goods sold 267,750 Gross Bargin 178.500 Selling and administrative expenses: Advertising expense 24,000 Shipping expense 34,500 Salaries and commissions 79,000 Insurance expense 6,950 Depreciation expense 16, 700 Total selling and administrative expenses 161, 150 Net operating income $ 17,350 24,000 36,700 85,100 6.950 16,700 169,450 $30,050 24,000 38,900 91,200 6.950 16,700 177,750 $ 42,750 Required: 1. By analyzing the data from the company's income statements, classify each of its expenses (including cost of goods sold) as either variable, fixed, or mixed. 2. Using the high-low method, separate each mixed expense into variable and fixed elements. Express the variable and fixed portions of each mixed expense in the form Ya+bX 3. Redo the company's income statement at the 5,250-unit level of activity using the contribution format. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Using the high-low method, separate each mixed expense into variable and fixed elements. Express the variable and fixed portions of each mixed expense in the form Y a +bX. (Round the Variable cost per unit to 1 decimal place.) Variable Cost Fixed Cost Formula per unit per unit Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Redo the company's income statement at the 5,250-unit level of activity using the contribution format. Morrisey & Brown, Ltd. Income Statement For the Month Ended September 30 Variable expenses: Fixed expenses