costs. Page 258 BRIEF EXERCISE 6-8 Preparing a Contribution Margin Income Statement [LO3 - CC12] The Alpine House, Inc. is a large retailer of winter sports equipment. Here is an income statement for the company's ski department for a recent quarter: THE ALPINE HOUSE, INC. Income Statement-Skl Department For the Quarter Ended March 31 Sales $560,000 390.000 Less: Cost of goods sold Gross margin Less: Operating expenses: 170,000 Selling expenses $60,000 Administrative expenses 20.000 80.000 Net income $_90.000 On average, skis sell for $800 per pair. Variable selling expenses are $50 per pair of skis sold. The remaining selling expenses are fixed. The administrative expenses are 17.5% variable and 82.5% fixed. The company does not manufacture its own skis; it purchases them from a supplier for $450 per pair Required: 1. Prepare a contribution margin income statement for the quarter. 2. For every pair of skis sold during the quarter what was the contribution toward covering fixed expenses and toward earning profits