Number of units sold 11,000

Selling price per unit $ 16

Variable selling expense per unit $ 1

Variable administrative expense per unit $ 2

Total fixed selling expense $ 21,000

Total fixed administrative expense $ 15,000

Beginning merchandise inventory $ 8,000

Ending merchandise inventory $ 22,000

Merchandise purchases $ 86,000

Required: 1. Prepare a traditional income statement.

2. Prepare a contribution format income statement.