The Alpine House, Incorporated, is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31:

	Amount
Sales	$ 1,276,000
Selling price per pair of skis	$ 440
Variable selling expense per pair of skis	$ 48
Variable administrative expense per pair of skis	$ 17
Total fixed selling expense	$ 135,000
Total fixed administrative expense	$ 110,000
Beginning merchandise inventory	$ 65,000
Ending merchandise inventory	$ 115,000
Merchandise purchases	$ 290,000

Required:

1. Prepare a traditional income statement for the quarter ended March 31.

2. Prepare a contribution format income statement for the quarter ended March 31.

3. What was the contribution margin per unit

Prepare a contribution format income statement for the quarter ended March 31.

The Alpine House, Incorporated
Contribution Format Income Statement
Salesselected answer correct		$1,276,000selected answer correct
Variable expenses:
Cost of goods soldselected answer correct	$240,000selected answer correct
Selling expensesselected answer correct	274,200selected answer incorrect
Administrative expensesselected answer correct	159,300selected answer incorrect
not attempted	not attempted
not attempted	not attempted	673,500not attempted
Contribution marginselected answer correct		not attempted
Fixed expenses:
not attempted	not attempted
Selling expensesselected answer correct	135,000selected answer correct
Administrative expensesselected answer correct	110,000selected answer correct
not attempted	not attempted	245,000
Net operating incomeselected answer correct		$267,600