Harris Company manufactures and sells a single product. A partially completed schedule of the company's total and per-unit costs over the relevant range of 30,000 to 50,000 units produced and sold annually is given below:

1. Assume that the company produces and sells 38,000 units during a year at a selling price of $16 per unit. Prepare contribution margin income statement for the year.

\fHARRIS COMPANY Contribution Margin Income Statement Sales 608.000 Less: Variable expense 228,000 Contribution margin Less: Fixed expense Net income