Problem 5-1A Contribution margin income statement and contribution margin ratio LO A1 The following costs result from the production and sale of 4,500 drum sets manufactured by Tight Drums Company for the year endes December 31, 2017, The drum sets sell for $300 each. The company has a 35% income tax rate. Variable production costs Plastic for casing Wages of assembly workers Drus stands $121,50e 414,800 162,000 Variable selling costs Sales commissions 112,500 Fixed manufacturins costs Taxes on factory Factory meintenance Factory machinery depreciation 15,000 30,000 90,000 Fixed sel1ing and adninistrative costs Lease of equipment for sales staff Accounting staff salarles Administrative management salarles 30,000 80,000 160,000 Required 1. Prepare a contribution margin income statement for the company 2. Compute its contribution margin per unit and its contribution margin ratio