Reference no: EM132572106
Cherokee Inc. is a merchandiser that provided the following information:
Amount
Number of units sold 14,000
Selling price per unit $18
Variable selling expense per unit $2
Variable administrative expense per unit $2
Total fixed selling expense $21,000
Total fixed administrative expense $13,000
Beginning merchandise inventory $11,000
Ending merchandise inventory $25,00
0Merchandise purchases $89,000
Required:
Question 1. do a traditional income statement.
Question 2. do a contribution format income statement.