Sales Cost of goods sold Gross margin HOUSE OF ORGANS, INC. Income Statement For the Month Ended November 30 Selling and administrative expenses: Selling expenses: Total selling expenses Administrative expenses: Executive salaries Depreciation of office equipment Clerical Insurance Total administrative expenses Total selling and administrative expenses Net operating income HOUSE OF ORGANS, INC. Contribution Format Income Statement For the Month Ended November 30 Total $150,000 Sales Variable expenses: Cost of goods sold Delivery of organs Sales commissions Clerical Try again! Per organ $2,500 Total variable expenses Contribution margin $ 150,000 $ Try again! 2.500 Try again! Fixed expenses: Advertising Sales salaries Utilities Depreciation of Page < 2 HOUSE OF ORGANS, INC. Contribution Format Income Statement For the Month Ended November 30 Total $150,000 Per organ $2,500 Sales Variable expenses: Cost of goods sold Delivery of organs Sales commissions Clerical Total variable expenses Contribution margin Fixed expenses: Advertising Sales salaries Utilities Depreciation of sales facilities Executive salaries Depreciation of office equipment Clerical Insurance Total fixed expenses Net operating income $ 150,000 $ 2,500 Try again!. Try again! $ 150,000 Try again! Given Data P02-14: Selling: Costs Advertising Delivery of organs Sales salaries and commissions Utilities Depreciation of sales facilities Administrative: Executive salaries Depreciation of office equipment Clerical HOUSE OF ORGANS, INC. $ SSSSS $ $ 5555 Cost Formula 950 per month 60 per organ sold 4,800 per month plus 650 per month 5,000 per month 13,500 per month 900 per month 2,500 per month plus Insurance 700 per month Average sales price of organ 2,500 Average cost of organ 1,500 Organs sold & delivered in November 60 4% of sales $40 per organ sold