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plz solve it Marwick's Pianos, Incorporated, purchases pianos from a large manufacturer for an average cost of $1,506 per unit and then sells them to
plz solve it
Marwick's Pianos, Incorporated, purchases pianos from a large manufacturer for an average cost of $1,506 per unit and then sells them to retail customers for an average price of $2,000 each. The company's selling and administrative costs for a typical month are presented below: Costs Selling: Advertising Sales salaries and commissions Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: Executive salaries Insurance Clerical Depreciation of office equipment Cost Formula $968 per month $4,822 per month, plus 3% of sales $61 per piano sold $651 per month $5,000 per month $13,547 per month $691 per month $2,494 per month, plus $45 per piano sold $903 per month During August, Marwick's Pianos, Incorporated, sold and delivered 65 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. Prepare a traditional format income statement for August. (A "Net operating loss" should be entered as a negative number.) Marwick's Pianos, Incorporated Traditional Income Statement For the Month of August Selling and administrative expenses: Selling expenses: 0 Total selling expenses Administrative expenses: Total administrative expenses 0 Total selling and administrative expenses 0 Marwick's Pianos, Incorporated Contribution Format Income Statement For the Month of August Total Per Piano Variable expenses: Total variable expenses 0 Contribution margin Foxed expenses: Total fixed expenses 0Step by Step Solution
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