-Exam-Part2 Whitman Corporation, a merchandising company, reported sales of 8,70

Question

-Exam-Part2 Whitman Corporation, a merchandising company, reported sales of 8,700 units for May at a selling price of $717 per unit. The cost of goods sold (all variable) was $509 per unit and the variable selling expense was $59 per unit. The total fixed selling expense was $163,400. The variable administrative expense was $30 per unit and the total fixed administrative expense was $379,900 Required: a. Prepare a contribution format income statement for May. (Input all amounts as positive values. Omit the "$" sign in your response.) Whitman Corporation (Click to select) Variable expenses (Click to select) (Click to select) Click to select) (Click to select) Fixed expenses Click to select) (Click to select) b. Prepare a traditional format income statement for May (Input all amounts as positive values. Omit the "$" sign in your response.) Income Statement Click to select) Click to select) (Click to select) Operating expenses (Click to select) (Click to select) (Click to select) Type here to search

Explanation / Answer

a. Contribution Format

b. Traditional Format

Whiteman Corporation Income Statement Sales (8700 Units * $717) $ 6,237,900 Variable Expenses: Cost of Goods Sold (8700 * $ 509) $ 4,428,300 Variable Selling expenses (8700 * $ 59) $ 513,300 Variable administrative expenses (8700 * $ 30) $ 261,000 $ 5,202,600 Contribution $ 1,035,300 Fixed Expenses: Fixed Seling Expenses $ 163,400 Fixed Administrative Expenses $ 379,900 $ 543,300 Net Income (Contribution - Fixed Expenses) $ 492,000

Related Questions

Navigate

• Browse (All)
• Browse #
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.