Gorman Nurseries Inc. grows poinsettias and fruit trees in a green house/nursery operation. The following information was provided for the coming year: Poinsettias Fruit TreesSales $ 970,000 $ 3,100,000Variable cost of goods sold 460,000 1,630,000Direct fixed overhead 160,000 200,000A sales commission of 4% of sales is paid for each of the two product lines. Direct fixed selling and administrative expense was estimated to be $146,000 for the poinsettia line and $87,000 for the fruit tree line. Common fixed overhead for the nursery operation was estimated to be $800,000; common selling and administrative expense was estimated to be $450,000.Required:Prepare a segmented income statement for Gorman Nurseries for the coming year, using variable costing. Refer to the list below for the exact wording of a label or an amount description within your income statement. Labels and Amount Descriptions:Add common fixed expensesAdd direct fixed expensesAdd variable expensesLess common fixed expensesLess direct fixed expensesLess variable expensesCommon fixed overheadCommon selling and marginDirect fixed overheadDirect selling and administrativeOperating lossOperating incomeSalesSegment marginVariable cost of goods soldVariable selling expensePrepare a segmented income statement for Gorman Nurseries for the coming year, using variable costing. Gorman Nurseries Inc. Segmented Income StatementFor the Coming Year 1