Account Analysis and Contribution Margin Income Statement. Downhill Company would like to estimate costs associated with its production of bike helmets on a monthly basis. The accounting records indicate the following production costs were incurred last month for 4,000 helmets.

Assembly workers labor (hourly)	$70,000
Factory rent	3,000
Plant managers salary	5,000
Supplies	20,000
Factory insurance	12,000
Materials required for production	20,000
Maintenance of production equipment (based on usage)	18,000

Required:

1. Use account analysis to estimate total fixed costs per month and the variable cost per unit. State your results in the cost equation form Y = f + vX by filling in the dollar amounts for f and v.

2. Estimate total production costs assuming 5,000 helmets will be produced and sold.

3. Prepare a contribution margin income statement assuming 5,000 helmets will be produced, and each helmet will be sold for $70. Fixed selling and administrative costs total $10,000. Variable selling and administrative costs are $8 per unit.