Jamison Travel uses the contribution margin income statement internally. Jamison's first quarter results are as follows:

Jamison's relevant range is sales of between $120,000 and $630,000.
Requirements
1. Prepare contribution margin income statements at sales levels of $230,000 and $400,000.
2. Compute breakeven sales in dollars.

Transcribed Image Text:

Jamison Travel Contribution Margin Income Statement Three Months Ended March 31 4 5 Sales revenue 6 Less: Variable expenses $ 525,000 7 Contribution margin $ 315,000 8 Less: Fixed expenses 9 Operating income 172,200 $ 10