coming year. Unit vari- Head-First Company plans to sell 5,000 bicycle helmets at $75 each in able cost is S45 (includes direct materials, direct labor, variable factory overhead, and variable selling expense). Fixed factory overhead is $20,000 and fixed selling and administrative expense is $29,500. the Required: I. Calculate the variable cost ratio. 2. Calculate the contribution margin ratio. 3. Prepare a contribution margin income statement based on the budgetei figures for next year. In a column next to the income statement, show the percentages based on sales for sales, total variable cost, and total contribution margin