Options 1, 2, 4 and 6:

• Administrative expenses
• Advertising
• Beginning merchandise inventory
• Commissions
• Common fixed expenses not traceable to products
• Depreciation
• Direct labor
• Direct materials
• Ending merchandise inventory
• Indirect labor
• Indirect materials
• Manufacturing overhead
• Purchases
• Sales
• Selling expenses
• Traceable fixed expenses
• Variable expenses

Options 3 and 5:

• Contribution margin
• Gross margin
• Product line segment margin

Options 7:

• Net operating income
• Net operating loss

Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Selling price per unit Variable expenses per unit Traceable fixed expenses per year Product Weedban Greengrow $ 12.00 $ 30.00 $ 2.50 $ 11.00 $ 135,000 $ 42,000 Common fixed expenses in the company total $101,000 annually. Last year the company produced and sold 42,000 units of Weedban and 23,000 units of Greengrow. Required: Prepare a contribution format income statement segmented by product lines. Product Line Total Company Weedban Greengrow 0 0 0 0 $ 0 $ 0 $ 0