Question: #7 (prepare an income statement using the contribution margin approach): Hint: Refer to Exercise 11-13A, which was Question #3 in your Chapter 11 online homework.

#7 (prepare an income statement using the contribution margin approach): Hint: Refer to Exercise 11-13A, which was Question #3 in your Chapter 11 online homework. Fall 2023 * ACCT 2121 AJ McCarron, former star quarterback for the Alabama Crimson Tide, started his own company called of fixed product costs; $44,400 of variable product costs; $17,650 of fixed SG&A expense; and $14,100 "King Saban," which sells merch with Nick Saban's face on it. In 2023, "King Saban" incurred $55,500 of variable SG&A expense. Since Alabama upset Georgia in the 2023 SEC Championship Game, demand for "King Saban" merch skyrocketed right before Christmas, and the company sold 100% of the units it produced. Sales revenue was $182,000. Using the contribution margin approach, what is the correct amount of variable costs to show on the income statement? A. $82,100 B. $73,150 C. $50,350 D. $58,500

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