2) Fanelli Corporation, a merchandising company, reported the following results for July: Number of units sold 5400 Selling price per unit $ 590 Unit cost of goods sold $ 406 Variable selling expense per unit $ 58 Total fixed selling expense $ 124,900 Variable administrative expense per unit $ 28 Total fixed administrative expense $ 206,800 Cost of goods sold is a variable cost in this company. Required: a. Prepare a traditional format income statement for July. Fanelli Corporation For the month of July Traditional Income Statement 993,600 Selling and administrative expenses: 671,200 $322,400 b. Prepare a contribution format income statement for July. Fanelli Corporation For the month of July Contribution Format Income Statement 2) 2 Variable expenses: 2,656,800 529,200 Fixed expenses:
2)
Fanelli Corporation, a merchandising company, reported the following results
for July:
Number of units sold 5400
Selling price per unit $ 590
Unit cost of goods sold $ 406
Variable selling expense per unit $ 58
Total fixed selling expense $ 124,900
Variable administrative expense per unit $ 28
Total fixed administrative expense $ 206,800
Cost of goods sold is a variable cost in this company.
Required:
a. Prepare a traditional format income statement for July.
Fanelli Corporation
For the month of July
Traditional Income Statement
993,600
Selling and administrative expenses:
671,200
$322,400
b. Prepare a contribution format income statement for July.
Fanelli Corporation
For the month of July
Contribution Format Income Statement
2) 2
Variable expenses:
2,656,800
529,200
Fixed expenses:
331,700
$197,500
Please Provide Full Question Answer
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
