David Davis recently fulfilled his long-time dream of opening a gym that offers spinning exercise classes for $10 per person. To differentiate his gym and better serve his clients, David provides a towel, a bottle of water, and an after-workout protein shake to each person participating in a class at a cost of $1.80 per person, David employs four part-time instructors and pays them each $1,500 per month. He also pays himself a monthly salary of $6,000. David's other monthly costs are $2,000 for rent, $1,500 for depreciation on his 34 bikes, and $1,525 in utilities and insurance (a) What is David's contribution margin per unit? (Round answer to 2 decimal places, eg 52.75) Contribution margin $ 8.2 per unit (b) What is David's contribution margin ratio? (Round answer to 2 decimal places, es 5275) Contribution margin ratio 82 (c) Prepare David's monthly contribution format income statement. Assume that he teaches 4,500 clients. (Round per unit values to 2 decimal places, s. 52.75 and all other answers to decimal places, es 5.275) Sales Revenue Per Unit $ $ Variable Expenses Towel Water Shake Contribution Margin Fred Expenses Sales Revenue Management Salary Expense 6000 Rent Expense 2000 Depreciation Expense 1500 1525 (b) What is David's contribution margin ratio? (Round answer to 2 decimal places, eg. 52.75.) Contribution margin ratio 82 (c) Prepare David's monthly contribution format income statement. Assume that he teaches 4.500 clients. (Round per unit values to 2 decimal places, e.g. 52.75 and all other answers to decimal places, eg. 5,275.) Per Unit Sales Revenue Variable Expenses