The Rhythm Shop is a large retailer of acoustic, electric, and bass guitars. An income statement for the company's acoustic guitar department for a recent quarter is presented below. THE RHYTHM SHOP Income Statement-Acoustic Guitar Department For the Quarter Ended March 31 Sales Cost of goods sold $1,800,eee 6ee, 000 1,200, eee Gross margin Selling and administrative expenses: Selling expenses Administrative expenses $ 600,000 400,000 Operating income 1,000,000 $ 200,000 The quitars sell, on average for $900 each. The department's variable selling expenses are $95 per quitar sold. The remaining sellina expenses are fixed. The administrative expenses are 30% Variable and 70% fixed. The company purchases its guitars from several suppliers at an average cost of $300 per guitar Required: 1. Prepare an income statement for the quarter using the contribution approach THE RHYTHM SHOP Income Statement-Acoustic Guitar Department suppliers dt all average cost of $300 per guitar. Required: 1. Prepare an income statement for the quarter using the contribution approach. THE RHYTHM SHOP Income Statement Acoustic Guitar Department For the Quarter Ended March 31 Variable expenses Fixed expenses Help Seve & Check 2 What was the contribution toward foxed expenses and profits from each quitar sold during the quarter? (State this foure in a sing dollar amount per guitar) Contribution margin per guitar 3. If The Rhythm Shop sells 110 more guitars in the quarter ending June 30 than it did in the quarter ending March 31, and fored costs remain the same, by how much will operating income increase? Operating income increase by Pre 1 of 2 Score answer >