1) Dodge Industries incurs the following costs during the current year:

Depreciation of machinery	$15,000
Direct labor	6,000
Direct materials	4,000
Executive salaries	20,000
Insurance	2,000
Rent on building	8,000
Factory supplies	10,000
Vehicle lease cost	5,000

Sales for the year were $80,000 and Dodge determined that only the direct production costs and factory supplies are to be classified as variable costs; all other costs are classified as fixed costs. Dodge sold 400 units.

(a)Using excel (or any other spreadsheet tool), prepare a Contribution margin Income Statement. Calculate the unit contribution margin and the contribution margin ratio for Dodge

Industries.