The Stephens Leadership Centre provides training seminars in personal development and time management. The company is relatively new and management is seeking information regarding the Centre's cost structure. The following information has been gathered since the inception of the business in January of the current year: January February March April May June Seminars offered 10 12 15 18 16 13 Costs incurred $17,000 18,800 20,900 23,762 21,800 19,400 Required: Using the high-low method, estimate the variable cost per seminar and the total fixed cost per month. The 4 x 4 Shop is a large retailer of equipment for pickup trucks. An income statement for the company's Bed Liner Department for the most recent quarter is presented below: The 4 x 4 Shop Income Statement--Liner Department for First Quarter of Current Year $700,000 250,000 $450,000 Sales Less: Cost of goods sold Gross margin Less: Operating expenses: Selling expenses Administrative expenses Net income $195,000 145,000 340,000 $110,000 The liners sell, on average, for $350 each. The department's variable selling expenses are $35 per liner sold. The remaining selling expenses are fixed. The administrative expenses are 25% vari and fixed. The company purchases from a supplier at a cost of $125 per liner. Required: Prepare an income statement for the quarter, using the contribution margin approach