Contribution Income Statement
Sales (12,000 units) ..	72,000
Variable expenses	48,000
Contribution Margin	24,000
Fixed expenses	10,000
Net Operating Income .	14,000

Jackpot company sells a single product, has provided its contribution format income statement for June.

Required:

1. Prepare Contribution Income Statement assuming that the business expects an increase in its total sales (total revenue) by $3,000 and decrease in variable cost per unit by 10%. (4 marks)