Sales revenue Variable costs of operations, excluding labor costs Employee wages and salariesb Manager salaries Fixed cost of automobiles Building costs (rent, utilities, etc.) $295,000 88,500 104,500 33,500 29,500 17,000 a 2 percent of this cost was wasted due to poor directions given to limo drivers. 5 15 percent of this cost was for time spent by limo drivers because of poor directions. C 15 percent of this cost was time taken to address customer complaints. d The limos have 35 percent unused capacity. The building has 15 percent unused capacity. Required: a. Using the traditional income statement format, prepare a value income statement. (Loss amounts should be indicated with a minus sign.) Value-added Activities Total DELUXE LIMO SERVICE Value Income Statement For the Month Ending March 31 Nonvalue-added Activities Sales revenue Cost of services sold: Variable costs of operations, excluding labor costs Employee wages and salaries Fixed cost of automobiles Gross margin (loss) Administrative expenses: Manager salaries Building costs Operating income (loss)