1. are listed in the balance sheet, starting with accounts payable. 2. are listed in the balance sheet in order of their expected maturity. 3. should not include long-term debt that is expected to be paid within the next year. 4. are obligations that the company is to pay within the forthcoming year.

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.