Solution for QID #3265: Cherokee Inc. is a merchandiser that provided the following | StudyHelpMe

Cherokee Inc. is a merchandiser that provided the following information: Number of units sold 20,000 Selling price per unit $ 30 Variable selling expense per unit $ 4 Variable administrative expense per unit $ 2 Total fixed selling expense $ 40,000 Total fixed administrative expense $ 30,000 Beginning merchandise inventory $ 24,000 Ending merchandise inventory $ 44,000 Merchandise purchases $ 180,000 Required 1) Prepare a traditional income statement. 2 )Prepare a contribution format income statement.