Five MacawsFive Macaws is a specialty pet gift shop selling exotic pet-related items online. The shop has no physical location. Results for last year are shown next:

For internal planning and decision-making purposes, the owner of Five MacawsFive Macaws would like to translate the company's income statement into the contribution margin format. Since Five MacawsFive Macaws is online only, all of its cost of goods sold is variable. A large portion of the selling and marketing expenses consists of freight-out charges ($19,400) which were also variable. Only 20% of the remaining selling and marketing expenses and 25% of the website expenses were variable. Of the other operating expenses, 90% were fixed. Based on this information, prepare Five MacawsFive Macaws' contribution margin income statement for last year.

Five Macaws is a specialty pet gift shop selling exotic pet-related items online. The shop has no physical location. Results for last year are shown next: (Click the icon to view the results.) For internal planning and decision-making purposes, the owner of Five Macaws would like to translate the company's income statement into the contribution margin format. Since Five Macaws is online only, all of its cost of goods sold is variable. A large portion of the selling and marketing expenses consists of freight-out charges ($19,400), which were also variable. Only 20% of the remaining selling and marketing expenses and 25% of the website expenses were variable. Of the other operating expenses, 90% were fixed. Based on this information, prepare Five Macaws' contribution margin income statement for last year. Five Macaws Contribution Margin Income Statement For the Year Ended December 31 Less: Less: Contribution margin Cost of goods sold Fixed expenses Fixed selling and marketing expenses Fixed website maintenance expenses Operating income Other fixed operating expenses Other variable operating expenses Sales revenue Total fixed expenses Total variable expenses Variable expenses Variable selling and marketing expenses Variable website maintenance expenses