Great Giraffes 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 Great Giraffes would like to translate the company's income statement into the contribution margin format. Since Great Giraffes 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 ($20,400), 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 Great Giraffes' contribution margin income statement for last year. Great Giraffes Contribution Margin Income Statement For the Year Ended December 31 Sales revenue Less: Variable expenses Cost of goods sold Variable selling and marketing expenses Variable website maintenance expenses Other variable operating expenses Total variable expenses Less: Fixed expenses Fixed website maintenance expenses Other fixed operating expenses Total fixed expenses Operating income $ 999,000 666,000 Data table A B - 1 Great Giraffes 2 Traditional Income Statement (Absorption Costing) 3 For the Year Ended December 31 4 Sales revenue 5 Less: Cost of goods sold CO 6 Gross profit $ 999,000 666,000 $ 333,000 7 Less operating expenses: 8 Selling and marketing expenses $ 64,000 9 Website maintenance expenses 59,000 10 Other operating expenses 17,800 140,800 11 Operating income $ 192,200 Print Done