Exercise: Cost behavior; Income statement in contribution format

Sunset Company, Inc. manufactures and sells a unique product. The following table presents the total and unit costs within a relevant level of 30,000 to 60,000 units produced and sold annually.

Complete the information in the table.

	Units manufactured and sold
35,000	45,000	55,000
Total Costs
Fixed Costs	$ 92,000
Variable Costs	$175,000
Total Costs	$267,000
Unit Costs
Unit Fixed Costs
Unit Variable Costs
Total Unit Costs

Prepare a Statement of Income in contribution format for a production level of 58,000 units per year sold at $ 30.00 each.