S Marwick's Pianos, Incorporated, purchases pianos from a large manufacturer for an average cost of $1,485 per unit and then sells them to retail customers for an average price of $2,400 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 Cost Formula $947 per month $4,812 per month, plus 3% of sales $58 per piano sold $653 per month $5,010 per month. $13,566 per month $713 per month $2,519 per month, plus $41 per piano sold $894 per month Insurance Clerical Depreciation of office equipment During August, Marwick's Pianos, Incorporated, 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.

Marwick's Pianos, Incorporated, purchases planos from a large manufacturer for an average cost of $1,485 per unit and then sells them to retail customers for an average price of $2,400 each. The company's seling and administrative costs for a typical month are presented below: During August, Marwick's Pianos, Incorporated, 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