B E F G A D 1 Jay Corporation has decided to prepare contribution income statements for internal planning. 2 3 Budgeted information for Quarter 1 of Year 3: Sales in units 17,000 Sales price per unit 48.00 4 5 6 7 After analyzing expenses, the company has determined the following cost patterns. Cost of Goods Sold (per unit) $ 29.00 Sales Commissions (per dollar of sales) 9.50% 8 9 10 11 12 Administrative Salaries (per quarter) Rent Expense (per quarter) Depreciation Expense (per quarter) $ $ $ 45,000.00 27,000.00 36,000.00 13 14 15 16 1. Prepare a contribution margin income statement for Quarter 1 of Year 3. 17 Jay Corporation 19 Budgeted Income Statement 20 For Year 3, Quarter 1 18 Sales Variable expenses: Cost of goods sold Sales commissions Total variable expenses Contribution margin Fixed expenses: Adminstrative salaries Rent expense Depreciation expense Total fixed expenses Net operating income