Pd 1.00 points 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 Momisey & Brown, Ltd. Income Statements For the Tree Months Ended September 30 5,000 Sales 400,000 $450,000 $500,000 300,000 Cost of goods sold Gross margin Selling and administrative expenses: 240,000 270,000 80,000 200,000 21,000 21,000 21,000 90,000 15,000 170,000 6,000 18,000 $ 30,000 Advertising expense Salaries and commissions 78,000 84,000 Total selling and administrative expenses 154.000 62,000 Net operabing income Required: . Identity each of the company's expenses (including cost of goods sold) as either variable, fixed, o Cost of goods sold Salaries and commissions Depreciation expense 2. Using the high-low method, separate each mixed expense into variable and fxed elements. State the cost formula for each mixed expense. Cost per unit 12 per unit 3. Redo the company's income statement at the 5,000-unit level of activity using the contribution format