Artech Studios is a traditional glassblowing studio in Kawartha Lakes, Ontario. The company produces upcycled glasses made from used bottles. Artech Studios developed the following information for the product it sells:

Sales price	$135.00 per unit
Variable cost of goods sold	$51.30 per unit
Fixed cost of goods sold	$389,000
Variable selling expense	19% of sales price
Variable administrative expense	$21.00 per unit
Fixed selling expense	$175,250
Fixed administrative expense	$319,000

For the fiscal year ended December 31, 2020, Artech Studios produced and sold 38,260 units of product.

Instructions

(a) Prepare a CVP income statement using the contribution margin format for Artech Studios for fiscal 2020. (6 marks)

(b) What was the company's break-even point in units in fiscal 2020? Use the contribution margin technique. (4 marks)

(c) What was the company's margin of safety in dollars in fiscal 2020? (2 marks)