Examining Cost Behaviour; High-Low Analysis; Contribution Margin Income Statement [LO1 - CC1, 3, 6; LO2 - CC9; LO3 - CC12] CHECK FIGURE (2) Shipping: A$13,000 per month plus A$5 per unit Smith & Chief Ltd. of Sydney, Australia, is a merchandising firm that is the sole distributor of a product that is increasing in popularity among Australian consumers. The company's income statements for the four most recent quarters follow: Sales in units Sales revenue SMITH & CHIEF LTD. Income Statements For the Four Quarters Ending December 31 Quarter 1 Quarter 2 4,200 3,800 A$420,000 A$380,000 Quarter 3 5,000 A$500,000 Quarter 4 4.700 Sales revenue A$420,000 A$380,000 A$500,000 A$470,000 Less: Cost of goods sold 252.000 228.000 300.000 282.000 Gross margin 168.000