All Frute Company bottles and distributes Frute Aid. The beverage is sold for $.50 per 16-ounce bottle to retailers, who charge customers $.70 per bottle. For the year 2020, management estimates the following revenues and costs.

Sales	2,500,000		Selling expense variable	80,000
Direct materials	360,000		Selling expense fixed	250,000
Direct labor	450,000		Administrative expense- variable	40,000
Manufacturing overhead- variable	270,000		Administrative expense fixed	150,000
Manufacturing overhead fixed	380,000

1. Prepare a CVP income statement for 2020 based on managements estimate.

All Frute Company CVP Income Statement
Net Sales
Variable expenses:
Cost of goods sold
Selling expenses
Administrative expenses
Total variable expenses
Contribution margin
Fixed expenses:
Cost of goods sold
Selling expenses
Administrative expenses
Total expenses
Net income