Problem: Module 5 Textbook Problem 3 Learning Objectives: . 5-3 Identify and describe fixed, variable, and mixed cost behavior . 5-4 Demonstrate the effects of operating leverage on profitability 49 The following income statements illustrate differekt cost structures for two competing companies: . Income Statements Company Name Benson Baird Number of customers (a) 82 82 Sales revenue (a $220) $ 18,040 $ 18,040 Variable cost (a $180) N/A (14,760) Variable cost (a * $0) 0 N/A Contribution margin 18,040 3,280 Fixed cost (14.260) 0 Net income $ 3,280 $ 3,280 Required a. Reconstruct Benson's income statement, assuming that it serves 164 customers when it lures 82 customers away from Baird by lowering the sales price to $120 per customer b. Reconstruct Baird's income statement, assuming that it serves 164 customers when it lures 82 customers away from Benson by lowering the sales price to $120 per customer Complete this unstinn hu antavinnan Saved Textbook Problems 0 Fixed cost Net income (14,760) $ 3,280 $ 3,280 Required a. Reconstruct Benson's income statement, assuming that it serves 164 customers when it lures 82 customers away from Baird by lowering the sales price to $120 per customer. b. Reconstruct Baird's income statement, assuming that it serves 164 customers when it lures 82 customers away from Benson by lowering the sales price to $120 per customer. 13 Print Complete this question by entering your answers in the tabs below. Required A Required B Reconstruct Benson's income statement, assuming that it serves 164 customers when it lures 82 customers away from Baird by lowering the sales price to $120 per customer BENSON COMPANY Income Statement Sales revenue Variable cost Contribution margins Fixed cost Net Income (6) $ 0 0 Required B> 0 xed cost t income (14,760) $ 3,280 $ 3,280 quired Reconstruct Benson's income statement, assuming that it serves 164 customers when it lures 82 customers away from lowering the sales price to $120 per customer. Reconstruct Baird's income statement, assuming that it serves 164 customers when it lures 82 customers away from Be lowering the sales price to $120 per customer. Complete this question by entering your answers in the tabs below. Required A Required B Reconstruct Baird's income statement, assuming that it serves 164 customers when it lures 82 customers away from Benson by lowering the sales price to $120 per customer BAIRD COMPANY Income Statement Sales revenue Variable cost Contribution margin $ 0 Fixed cost 71,200 Not income (105) $ 71,200