Prepare an income statement for January from the provided information

Subject: Business    / Accounting
Question
J Bryant, Ltd. is a local coat retailer. The store’s accountant prepared the following income statement for the month ended January 31.

Sales revenue    $    765,500
Cost of goods sold        305,000
Gross margin    460,500
Less operating expenses
Selling expense    $    24,830
Administrative expense        50,140        74,970
Net operating income    $    385,530

Bryant sells its coats for $250 each. Selling expenses consist of fixed costs plus a commission of $6.50 per coat. Administrative expenses consist of fixed costs plus a variable component equal to 5% of sales.

(a)Prepare a contribution format income statement for January.(Round units to 0 decimal places, e.g. 5,275. Round unit cost to 2 decimal places, e.g. 12.25 and all other answers to 0 decimal places, e.g. 45,000.)

Per Unit
Operating IncomeFixed ExpensesCost of Goods SoldSales RevenueContribution MarginAdministrative ExpenseTotal Variable ExpensesVariable ExpensesSelling ExpenseAdministration ExpenseTotal Fixed Expenses    $    $
AddLess Fixed ExpensesAdministration ExpenseTotal Fixed ExpensesSales RevenueTotal Variable ExpensesAdministrative ExpenseVariable ExpensesCost of Goods SoldContribution MarginOperating IncomeSelling Expense:
Cost of Goods Sold Selling Expense Contribution Margin Operating Income Administrative Expense Sales Revenue Total Variable Expenses Total Fixed Expenses Variable Expenses Administration Expense Fixed Expenses
Sales Revenue Total Fixed Expenses Cost of Goods Sold Variable Expenses Selling Expense Administration Expense Fixed Expenses Contribution Margin Administrative Expense Operating Income Total Variable Expenses
Selling Expense Administrative Expense Administration Expense Total Fixed Expenses Operating Income Total Variable Expenses Fixed Expenses Variable Expenses Cost of Goods Sold Sales Revenue Contribution Margin         $
Sales RevenueVariable ExpensesOperating IncomeFixed ExpensesTotal Fixed ExpensesSelling ExpenseCost of Goods SoldContribution MarginTotal Variable ExpensesAdministrative ExpenseAdministration Expense
Administrative ExpenseSelling ExpenseAdministration ExpenseTotal Variable ExpensesOperating IncomeVariable ExpensesTotal Fixed ExpensesFixed ExpensesSales RevenueCost of Goods SoldContribution Margin        $
AddLess Variable ExpensesCost of Goods SoldFixed ExpensesAdministrative ExpenseSales RevenueOperating IncomeContribution MarginTotal Variable ExpensesAdministration ExpenseSelling ExpenseTotal Fixed Expenses:
Total Fixed Expenses Operating Income Administration Expense Fixed Expenses Total Variable Expenses Sales Revenue Cost of Goods Sold Contribution Margin Administrative Expense Variable Expenses Selling Expense
Administration Expense Contribution Margin Selling Expense Total Fixed Expenses Variable Expenses Fixed Expenses Sales Revenue Cost of Goods Sold Administrative Expense Operating Income Total Variable Expenses
Administrative ExpenseCost of Goods SoldContribution MarginTotal Fixed ExpensesOperating IncomeAdministration ExpenseTotal Variable ExpensesFixed ExpensesSelling ExpenseSales RevenueVariable Expenses
Administration ExpenseSelling ExpenseTotal Fixed ExpensesAdministrative ExpenseFixed ExpensesTotal Variable ExpensesSales RevenueContribution MarginCost of Goods SoldOperating IncomeVariable Expenses