2. Anchovy, Incorporated, a producer of frozen pizzas, began operations this year. During this year, the company produced 16,000 cases of pizza and sold 15,000. At year-end, the company reported the following income statement using absorption costing: Sales (15,000 x $48) Cost of goods sold (15,000 x $19) Gross profit $ 720,000 285,000 $435,000. Selling and administrative expenses 79,000 Net income $356,000 Production costs per case total $19, which consists of $15.50 in variable production costs and $3.50 in fixed overhead costs (based on the 16,000 units produced). Eight percent of total selling and administrative expenses are variable. Compute income under variable costing. 3. Countdown Incorporated sold 17,000 units of its product at a price of $81 per unit. Total variable cost per unit is $72.09, consisting of $69.05 in variable production cost and $3.04 in variable selling and administrative cost. Compute the total contribution margin AND contribution margin ratio