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Part 1

The Dairy Ice Cream Shoppe sold 9,100 servings of ice cream during June for $2 per serving. The shop purchases the ice cream in large tubs from the Organic Ice Cream Company. Each tub costs the shop $14 and has enough ice cream to fill 35 ice cream cones. The shop purchases the ice cream cones for $0.15 each from a local warehouse club. Located in an outdoor mall, the rent for the shop space is $2,000 per month. The shop expenses $200 a month for the depreciation of the shop's furniture and equipment. During June, the shop incurred an additional $2,500 of other operating expenses (75% of these were fixed costs)

Requirement 1. Prepare The Dairy Ice Cream Shoppe's June income statement using a traditional format. Requirement 2. Prepare The Dairy lce Cream Shoppe's June income statement using a contribution margin format. The Dairy lce Cream Shoppe Contribution Margin Income Statement For the Month Ended June 30 Sales revenue Less: Variable expenses Less