ABC Consulting Firm provides IT services. Financial data for 2023 is as follows:

Ledgers (in $)	Amount
Service Revenue	30,000,000
Salaries and Benefits	15,000,000
Rent Expense	2,000,000
Depreciation Expense	1,500,000
Marketing Expenses	3,000,000

Requirements:

• Prepare ABC Consulting Firm's income statement for the year ended December 31, 2023.
• Calculate the Contribution Margin and Operating Income.
• Determine the Net Income after taxes using a tax rate of 35%.
• Analyze the impact of a 10% reduction in marketing expenses on profitability.
• Discuss how fixed costs affect ABC Consulting Firm's break-even point.