Problem 5-1A Contribution margin income statement and contribution margin ratio LO A1 The following costs result from the production and sale of 4,550 drum sets manufactured by Tight Drums Company for the year ended December 31, 2017. The drum sets sell for $305 each. The company has a 40% income tax rate. Variable produetion costs $127,400 423,150 168,350 Plastic for casing Wages of assenbly workers Drun stands Variable selling conts 118,300 Sales commissions Pixed manufacturing costs 9,500 Taxes on factory Factory maintenance Factory machinery depreciation 19,000 79,000 Fixed selling and administrative costs 19,000 69,000 149,000 Lease of equipment for sales staff Accounting staff salaries Adninistrative management salaries Required: 1. Prepare a contribution margin income statement for the company Prev 1 of 1 Next