Andrew Ltd developed the following income statement using a contributionmargin approach:

Sales (100,000 units) $ 750,000 Less: variable costs Variable manufacturing costs 280,000 Variable selling costs 120,000 Total variable costs 400,000 350,000 Less: Fixed costs Fixed manufacturing costs 130,000 Fixed selling and administrative costs 80,000 Total fixed costs 210,000 Net operating income 140,000