The Alpine House, Inc., is a large retailer of snow skis. Thecompany assembled the information shown below for the quarter endedMarch 31:
| | Amount |
| Sales | $ | 1,496,000 |
| Selling priceper pair of skis | $ | 440 |
| Variable sellingexpense per pair of skis | $ | 50 |
| Variableadministrative expense per pair of skis | $ | 18 |
| Total fixedselling expense | $ | 145,000 |
| Total fixedadministrative expense | $ | 105,000 |
| Beginningmerchandise inventory | $ | 70,000 |
| Endingmerchandise inventory | $ | 105,000 |
| Merchandisepurchases | $ | 300,000 |
|
Required:
1. Prepare a traditional income statement for the quarter endedMarch 31.
2. Prepare a contribution format income statement for thequarter ended March 31.
3. What was the contribution margin per unit?
