Todrick Company is a merchandiser that reported the following information based on 1,000 units sold: Sales Beginning merchandise inventory Purchases Ending merchandise inventory. Fixed selling expense Fixed administrative expense Variable selling expense Variable administrative expense Contribution margin Net operating income $ 465,000 $ 31,000. $310,000 $ 15,500 $ 2 $ 18,600 $ 23,250 $ 2 $ 93,000 $ 27,900 Required: 1. Prepare a contribution format income statement. 2. Prepare a traditional format income statement. 3. Calculate the selling price per unit. 4. Calculate the variable cost per unit. 5. Calculate the contribution margin per unit. 6. Which income statement format (traditional format or contribution format) would be more useful to managers in estimating how net operating income will change in responses to changes in unit sales? 1 plete Req 1 Req 2 Req 3 to 5 Req 6 nts References Prepare a contribution format income statement. Todrick Company Contribution Format Income Statement Sales Variable expenses: Cost of goods sold Selling expense Administrative expense Contribution margin Fixed expenses: $ 325,500 23,250 23,250 Selling expense $ 46,500 Administrative expense 18,600 $ 465,000. 372,000 93,000 65,100 Net operating income $ 27,900 Req 1 Req 2 > 1 Complete this question by entering your answers in the tabs below. Req 1 Red 2 Req 3 to 5 Req 6 ts Prepare a traditional format income statement. Todrick Company eferences Sales Traditional Income Statement $ 465,500 Cost of goods sold 325,500 140,000 Gross margin Selling and administrative expenses: Selling expense Administrative expense Net operating income < Req 1 Req 3 to 5 > Required: 1. Prepare a contribution format income statement. 2. Prepare a traditional format income statement. 3. Calculate the selling price per unit. 4. Calculate the variable cost per unit. 5. Calculate the contribution margin per unit. 6. Which income statement format (traditional format or contribution format) would be more useful to managers operating income will change in responses to changes in unit sales? Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 to 5 Req 6 3. Calculate the selling price per unit. 4. Calculate the variable cost per unit. 5. Calculate the contribution margin per unit. 3. Selling price per unit 4. Variable cost per unit 5. Contribution margin per unit < Req 2 Req 6 > Chapter 1 Homework Variable selling expense $ 23,250 Variable administrative expense $ ? 1 Contribution margin $ 93,000 Net operating income $ 27,900 Help Saved 10 points Required: 1. Prepare a contribution format income statement. 2. Prepare a traditional format income statement. 3. Calculate the selling price per unit. 4. Calculate the variable cost per unit. 5. Calculate the contribution margin per unit. References 6. Which income statement format (traditional format or contribution format) would be more useful to managers in estima operating income will change in responses to changes in unit sales? Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 to 5 Req 6 Which income statement format (traditional format or contribution format) would be more useful to managers in estimating how net operating income will change in responses to changes in unit sales? Traditional income statement Contribution income statement