Whitman Corporation,a merchandising company,reported sales of 7,400 units for May at a selling price of $677 per unit.The cost of goods sold (all variable)was $441 per unit and the variable selling expense was $54 per unit.The total fixed selling expense was $155,600.The variable administrative expense was $24 per unit and the total fixed administrative expense was $370,400.
Required:
a.Prepare a contribution format income statement for May.
b.Prepare a traditional format income statement for May.

Question

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The Answer of Whitman Corporation,a merchandising company,reported sales of 7,400 units for May at a selling price of $677 per unit.The cost of goods sold (all variable)was $441 per unit and the variable selling expense was $54 per unit.The total fixed selling expense was $155,600.The variable administrative expense was $24 per unit and the total fixed administrative expense was $370,400.
Required:
a.Prepare a contribution format income statement for May.
b.Prepare a traditional format income statement for May.

Whitman Corporation,a Merchandising Company,reported Sales of 7,400 Units for May