Harris Company manufactures and sells a single product. A partially completed schedule of the company's total costs and costs per unit over the relevant range of 68,000 to 108,000 units is given below:

Required:

1. Complete the schedule of the company's total costs and costs per unit as given in the relevant tab below. (Round the per unit variable cost and per unit fixed cost to 2 decimal places.)

Units Produced and Sold

68,000. 88,000. 108,000

Total costs:

Variable cost

$224,400 1: 2:

Fixed cost

$500,000 3 4

Total costs (First value Not given like variable and Fixed above)

5 6 7

Cost per unit:

Variable cost

8: 9: 10:

Fixed cost

11 12 : 13:

Total cost per unit

14: 15: 16:

1. Assume that the company produces and sells 98,000 units during the year at a selling price of $9.98 per unit. Create a contribution format income statement for the year.

Harris Company

Contribution Format Income Statement

Sales

17:

Variable expenses

18:

Contribution margin

19:

Fixed expense

20:

Net operating income

21: