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Snyder Brush Company sells standard hair brushes. The given information summarizes Snyder's operating activities for the year 2012:

Selling and administrative expenses                   $ 49,680

Purchases                                                    78,000

Sales revenue                                               138,000

Merchandise inventory, January 1, 2012             7,500

Merchandise inventory, December 31, 2012        12,360

Requirements:

a) Make an income statement for 2012. find out the ratio of operating expense to the total revenue and operating income to total revenue.

b) Snyder sold 6,000 brushes 2012. find out the unit cost for one brush.    

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