AJ Manufacturing Compan incurred $ 50,000 of fixed product cost and $40,000 of variable product ost during its first year of operation. Also during its first year, AJ incurred $16,000 of fixed selling and administrative costs and $13,000 of variable selling and administrative costs. The company sold all of the units it produced for $160,000.

Required:

Prepare an income statement using the contribution margin approach.