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The following income statements illustrate different cost structures for two competing companies Income Statements Company Name Thornton Stuart Number of customers (a) 89 89 Sales

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The following income statements illustrate different cost structures for two competing companies Income Statements Company Name Thornton Stuart Number of customers (a) 89 89 Sales revenue (a x $230) $ 20,479 $ 20,470 Variable cost (a x $180) N/A (16,020) Variable cost (a x $0) e Contribution margin 20,470 4,450 Fixed cost (16,020) Net income $ 4,450 $ 4,450 N/A Required a. Reconstruct Thornton's income statement assuming that it serves 178 customers when it lures 89 customers away from Stuart by lowering the sales price to $130 per customer b. Reconstruct Stuart's income statement, assuming that it serves 178 customers when it lures 89 customers away from Thornton by lowering the sales price to $130 per customer Complete this question by entering your answers in the tabs below. Required A Required B Reconstruct Thornton's income statement, assuming that it serves 178 customers when it lures 89 customers away from Stuart by lowering the sales price to $130 per customer. THORNTON COMPANY Income Statement Sales revenue Complete this question by entering your answers in the tabs below. Required A Required B Reconstruct Stuart's income statement, assuming that it serves 178 customers when it lures 89 customers away from Thornton by lowering the sales price to $130 per customer. STUART COMPANY Income Statement Sales revenue

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