Jeff brooks has recently moved into an apartment and has discovered that the previous tenant forgot to turn off the cable tv service. jeff plugs his new big screen into the cable and enjoys the cable service without paying for it. economists would describe jeff brooks as a consumer of toll goods. free rider. careful consumer. user of a common pool resource. user of a public good.

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.