Question: Problem 1. Margin at the Kiosk . You rent a kiosk in the mall for $300 a month and use it to sell T-shirts with

Problem 1. Margin at the Kiosk.

You rent a kiosk in the mall for $300 a month and use it to sell T-shirts with college logos from colleges and universities all over the world. You sell each T-shirt for $25, and your cost for each shirt is $15. You also pay your sales person a commission of $0.50 per T-shirt sold in addition to a salary of $400 per month. Construct a contribution margin income statement for two different months: in one month, assume 100 T-shirts are sold, and in the other, assume 200 T-shirts are sold.

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