Calculating contribution margin ratio, preparing contribution margin income statements For its top managers, Worldwide Travel Formats its income statement as follows: Worldwide's relevant range is between sales of $253,000 and $368,000. Requirements 1. Calculate the contribution margin ratio. 2. Prepare two contribution margin income statements: one at the $253,000 sales level and one at the $368,000 sales level. (Hint: The proportion of each sales dollar that goes toward variable costs is constant within the relevant range.) WORLDWIDE TRAVEL Contribution Margin Income Statement Three Months Ended March 31, 2018 Net Sales Revenue Variable costs Contribution Margin Fixed Costs Operating Income 5 316,500 136,095 180,405 173,000 $ 7,405