Windom Corporation Manufactures Small Airplane Propellers In Addition,Windom Spent $25,000 on 50 Engineering Changes with a Regarding

Essay

Windom Corporation manufactures small airplane propellers.Sales for April totaled $850,000.Information regarding resources for the month follows:
$\begin{array}{|l|r|r|} \hline & \text { Fesources } & \text { Resources } \\&\text { Used } & \text { Suppled } \\\text { Parts management } & \$ 30,000 & \$ 35,000 \\\hline \text { Energy } & 50,000 & 50,000 \\\hline \text { Quality inspections } & 45,000 & 50,000 \\\hline \text { Long-term labor } & 25,000 & 35,000 \\\hline \text { Temporary labor } & 20,000 & 24,000 \\\hline \text { Setups } & 70,000 & 100,000 \\\hline \text { Materials } & 150,000 & 150,000 \\\hline \text { Depreciation } & 60,000 & 100,000 \\\hline \text { Marketing } & 70,000 & 75,000 \\\hline \text { Customer service } & 10,000 & 20,000 \\\hline \text { Administrative } & 50,000 & 70,000 \\\hline\end{array}$
In addition,Windom spent $25,000 on 50 engineering changes with a cost driver rate of $500 and $30,000 on eight outside contracts with a cost driver rate of $3,750.Required:
a.Prepare a traditional income statement.b.Prepare an activity-based income statement.