The following income statements illustrate different cost structures for two competing companies:

$\backslash$table$[[,$Income Statements,Company Name$],[,$Gibson,Franklin,$],[$Number of customers $($a$),89,89,],[$Sales revenue $(a$$$230),$$$20,470,$$$20,470,],[$Variable cost $(a$$$185),\frac{N}{A},(16,465),],[$Contribution margin,$20,470,4,005,],[$Fixed cost$,(16,465),0,],[$Net income,$$4,005,$$$4,005,]]$

Required

a$.$ Reconstruct Gibson's income statement, assuming that it serves $178$ customers when it lures $89$ customers away from Franklin by lowering the sales price to $$130$ per customer.

b$.$ Reconstruct Franklin's income statement, assuming that it serves $178$ customers when it lures $89$ customers away from Gibson by lowering the sales price to $$130$ per customer.

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Required A

Required B

Reconstruct Gibson's income statement, assuming that it serves $178$ customers when it lures $89$ customers away from Franklin by lowering the sales price to $$130$ per customer.

$\backslash$table$[[$GIBSON COMPANY$],[$Income Statement$],[$Sales revenue,$],[$Variable cost$,],[$Contribution margin,$