Jane's auto care is considering the purchase of a new tow truck. the garage doesn't currently have a tow truck, and the $60,000 price tag for a new truck would represent a major expenditure. jane austen, owner of the garage, has compiled the estimates shown below in trying to determine whether the tow truck should be purchased.

Cherokee inc. is a merchandiser that provided the following information: amount 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.