Aurora corporation operated without insurance coverage for the first month of 2015. then, on february 1, 2015, the company paid the $4,800 premium on a two-year insurance policy with benefits beginning on that date. the company uses the accrual basis. how much insurance expense will be reported on the company's income statement for the year ended december 31, 2015?

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.