For its top managers, Mars Travel formats its income statement as follows:

View the income statement

Mars Travel's relevant range is between sales of $$250,000$ and $$361,000.$

Read the requirements.

Requirements

Calculate the contribution margin ratio

Prepare two contribution margin income statements: one at the $$250,000$ sales level and one at the $$361,000$ sales level. $($Hint: The proportion of each sales dollar that goes toward variable costs is constant within the relevant range.$)$

Requirement $1.$ Calculate the contribution margin ratio

Select the labels and enter the amounts to calculate the contribution margin ratio. $($Enter the contribution margin ratio as a whole percentage, $x\%)$

$=$ Contribution margin ratio $L=$

First prepare the contribution margin income statement at the $$250,000$ sales level. $($Use a minus sign or parentheses for a loss $)$

Mars Travel

Contribution Margin Income Statement

Three Months Ended March $31,2025$

Net Sales Revenue

Variable Costs

Contribution Margin

Fixed Costs

Operating Income $($Loss$)$

Now prepare the contribution margin income statement at the $$361,000$ sales level $($Use a minus sign or parentheses for a loss$)$

Mars Travel

Contribution Margin Income Statement

Three Months Ended March $31,2025$

Net Sales Revenue $$

$$ Variable Costs

Contribution Margin

Fixed Costs

$$

$$

Operating Income $($Loss$)$