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The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31:
| | | Amount |
| Sales | $ | 1,035,000 |
| Selling price per pair of skis | $ | 450 |
| Variable selling expense per pair of skis | $ | 48 |
| Variable administrative expense per pair of skis | $ | 17 |
| Total fixed selling expense | $ | 155,000 |
| Total fixed administrative expense | $ | 115,000 |
| Beginning merchandise inventory | $ | 75,000 |
| Ending merchandise inventory | $ | 110,000 |
| Merchandise purchases | $ | 315,000 |
| |
Required:
1. Prepare a traditional income statement for the quarter ended March 31.
2. Prepare a contribution format income statement for the quarter ended March 31.
3. What was the contribution margin per unit?
Prepare a traditional income statement for the quarter ended March 31.
| |
| | | The Alpine House, Inc. | | Traditional Income Statement | | | | | | | | | | | | | | Selling and administrative expenses: | | | | | | | | | | | | | | | | | | | | | | | |
Prepare a contribution format income statement for the quarter ended March 31.
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| | | The Alpine House, Inc. | | Contribution Format Income Statement | | | | | | Variable expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | Fixed expenses: | | | | | | | | | | | | | | | | | | | | | | | What was the contribution margin per unit? (Round your final answer to nearest whole dollar.) | | | | | Contribution margin per unit | | | |
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