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Pls. Help. i'm so confused. The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the
Pls. Help. i'm so confused.
The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: Sales Selling price per pair of skis Variable selling expense per pair of skis Variable administrative expense per pair of skis Total fixed selling expense Total fixed administrative expense Beginning merchandise inventory Ending merchandise inventory Merchandise purchases Amount $ 1,440,000 450 49 18 135,000 $ 125,000 $ 75,000 $ 115,000 315,000 Required: 1. Prepare a traditional income statement for the quarter ended March 31. 2. Prepare a contribution format income statement for the quarter ended March 31. 3. What was the contribution margin per unit? Complete this question by entering your answers in the tabs below. Required 1 Required 2 | Required 3 Prepare a traditional income statement for the quarter ended March 31. The Alpine House, Inc. Traditional Income Statement Selling and administrative expenses: Marwick's Pianos, Inc., purchases pianos from a large manufacturer for an average cost of $1,492 per unit and then sells them to retail customers for an average price of $3,200 each. The company's selling and administrative costs for a typical month are presented below: Costs Cost Formula Selling: Advertising $934 per month Sales salaries and commissions $4,828 per month, plus 5% of sales Delivery of pianos to customers $58 per piano sold Utilities $647 per month Depreciation of sales $5,083 per month facilities Administrative: Executive salaries $13,401 per month Insurance $685 per month Clerical 62,478 per month, plus $43 per piano Depreciation of office $857 per month equipment sold During August, Marwick's Pianos, Inc., sold and delivered 62 pianos. Required: 1. Prepare a traditional format income statement for August. 2. Prepare a contribution format income statement for August. Show costs and revenues on both a total and a per unit basis down through contribution margin. Complete this question by entering your answers in the tabs below. Required Required Prepare a traditional format income statement for August. (A "Net operating loss" should be entered as a negative number.) Marwick's Pianos, Inc. Traditional Income Statement For the Month of August Selling and administrative expenses: Selling expenses: Total selling expenses Administrative expenses: Total administrative expenses Total selling and administrative expensesStep by Step Solution
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