The following data are from the accounting records of Cunha Products for year 2 (all figures in thousands of dollars).
Units produced and sold . . . . . . . . . . . . . . . . . . . . . . . . . . 42,500
Total revenues and costs
Sales revenue. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $33,000
Direct material costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,500
Direct labor costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,250
Variable manufacturing overhead. . . . . . . . . . . . . . . . . . . . 2,125
Fixed manufacturing overhead. . . . . . . . . . . . . . . . . . . . . . 5,500
Variable marketing and administrative costs . . . . . . . . . . . 1,700
Fixed marketing and administrative costs . . . . . . . . . . . . . 4,000

Required
Prepare:
a. A gross margin income statement.
b. A contribution margin income statement.