Milden Company is a merchandiser that plans to sell 33,000 units during the next quarter at...

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Milden Company is a merchandiser that plans to sell 33,000 units during the next quarter at a selling price of $55 per unit. The company also gathered the following cost estimates for the next quarter:

Cost	Cost Formula
Cost of good sold	$25 per unit sold
Advertising expense	$182,000 per quarter
Sales commissions	5% of sales
Shipping expense	$32,000 per quarter + $5.00 per unit sold
Administrative salaries	$92,000 per quarter
Insurance expense	$10,200 per quarter
Depreciation expense	$62,000 per quarter

Required:

1. Prepare a contribution format income statement for the next quarter.

2. Prepare a traditional format income statement for the next quarter

Prepare a contribution format income statement for the next quarter Milden Company Contribution Format Income Statement For the Next Quarter Variable expenses: Total variable expenses Contribution margin Fixed expenses Total fixed expenses

Prepare a traditional format income statement for the next quarter. Milden Company Traditional Format Income Statement For the Next Quarter Slling and administrative expenses Total selling and administrative expenses

business accounting

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Answer 1

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Answer #1

iden Compa ,815 ,000 33,000 x S5 Cost o goods sold 8,25 00o 33,000 XS Sales Com mPsson 40,50 5% 1815,000) $1,65,000 (33000 х 5,0) 182,000 shf 32 ,000 10 200 62,000 ene (3)-356650 ilden compen Saes ,215 0 Cstgods sodd 25,000 3300 R 25) seubg 182 ,00 Gates commi o,180 (5% x 1,815,000) し32,000 + (33000 XS 2000 0,2L06 62 000 Incrance epenco 3 56050

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Answer 2

Milden Company is a merchandiser that plans to sell 33,000 units during the next quarter at...

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