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: Morrisey & Brown, Ltd. Income Statements For the Three Months Ended September 30 July Sales in units 8,250 Sales $ 783,750 Cost of goods sold 470,250 Gross margin 313,500 Selling and administrative expenses Advertising expense 25,400 Shipping expense 102,500 Salaries and commissions 150,000 Insurance expense 7,350 Depreciation expense 21,400 Total selling and administrative expenses 306,650 Net operating income $ 6,850 August 8,750 $ 831,250 498,750 332,500 September 9,250 $ 878,750 527, 250 351,500 25,400 107,900 157, 700 7,350 21,400 319,750 $ 12,750 25,400 113,300 165,400 7,350 21,400 332,850 $ 18,650 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 Y = a + bx. 3. Redo the company's income statement at the 9,250-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 and 5A - Homework i Saved Help LULA Y QU QULD LLAVO BAND Net operating income $ 6,850 $ 12,750 $ 18,650 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 Y = a + bx. 3. Redo the company's income statement at the 9,250-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 Shipping expense per unit X Salaries and commissions expense Y per unit (Required 1 Required 3 > BE 2 Required 1 Required 2 Required 3 Redo the company's income statement at the 9,250-unit level of activity using the contribution format. Morrisey & Brown, Ltd. Income Statement For the Month Ended September 30 Book rint Fences Variable expenses: 0 0 Fixed expenses 0 $ 0