Hudson Co. reports the contribution margin income statement for 2015. Assume sales remain constant at 10,500 units. HUDSON CO. Contribution Margin Income Statement For Year Ended December 31, 2015 Sales (10,500 units at $269 each) Variable costs (10,500 units at $220 each) $ 2,824,500 2,310,000 Contribution margin Fixed costs $ 514,500 332,100 Pretax income $ 182,400 Assume the company is considering investing in a new machine that will increase its fixed costs by $45,000 per year and decrease its variable costs by $9 per unit. Prepare a forecasted contribution margin income statement for 2016 assuming the company purchases this machine. HUDSON CO. Forecasted Contribution Margin Income Statement For Year Ended December 31, 2016 Sales Variable costs Contribution margin Fixed costs Income (pretax) Should the company purchase the machine? Yes No