Astro Co. sold 20,500 units of its only product and Incurred a $67.750 loss (ignoring taxes) for the current year as shown here. During a planning session for year 2014's activities, the production manager notes that variable costs can be reduced 40% by installing a machine that automates several operations. To obtain these savings, the company must Increase its annual fixed costs by $155.000. The maximum output capacity of the company is 40.000 units per year. ASTRO COMPANY Contribution Margin Income Statement For Year Ended December 31. 2013 Sales 5779.000 Variable costs 584,250 Contribution margin 194,750 Fixed costs 262,500 Net loss $ (67,750) lam 21.4A Part 3 3. Prepare a forecasted contribution margin Income statement for 2014 that shows the expected results with the machine Installed. Assume that the unit sales price and the number of units sold will not change, and no income taxes will be due. ASTRO COMPANY Forecasted Contribution Margin Income Statement For Year Ended December 31, 2014 Sales S 779.000 Variable costs 350.550 Contribution margin 428.450 Fixed costs 417.500 Net income 10,950 5. Prepare a forecasted contribution margin income statement that shows the results at the sales level computed in part 4. Assume an Income tax rate of 40%. NSW5gril Forecasted Contribution Margin Income Statement For Year Ended December 31, 2014 $ Per 1.10 $ 38.00 Contribution margin Net income