question 4 - 2 parts

Milden Company is a merchandiser that plans to sell 35,000 units during the next quarter at a selling price of $56 per unit. The company also gathered the following cost estimates for the next quarters Cost Cost Formula Cost of good sold $26 per unit sold Advertising expense $183,000 per quarter Sales commissions 6 of sales Shipping expense $57,000 per quarter + $4.00 per unit sold Administrative salaries $93,000 per quarter Insurance expense $10,300 per quarter Depreciation expense 563, 000 per quarter Required: 1. Prepare a contribution format income statement for the next quarter. 2. Prepare a traditional format income statement for the next quarter. Required 1 Required 2 Prepare a contribution format income statement for the next quarter. Milden Company Contribution Format Income Statement For the Next Quarter Cost of goods sold Variable expenses Advertising expense Cost of goods sold $ 910,000 0 Total variable expenses Contribution margin Fixed expenses Administrative salarios Beginning merchandise inventory Total fixed expenses 0 Required 1 Required 2 Prepare a traditional format Income statement for the next quarter. Milden Company Traditional Format Income Statement For the Next Quarter Selling and administrative expenses: Total selling and administrative expenses