Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (10,700 units at $300 each) $ 3,210,000 Variable costs (10,700 units at $240 each) 2,568,000 Contribution margin 642,000 Fixed costs 504,000 Income $ 138,000 The company is considering buying a new machine that will increase its fixed costs by $40,000 per year and decrease its variable costs by $8 per unit. Prepare a contribution margin income statement for the next year assuming the company purchases this machine.

Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 $ 3,210,000 Sales (10,700 units at $300 each) Variable costs (10,700 units at $240 each) Contribution margin 2,568,000 642,000 504,000 Fixed costs Income $ 138,000 The company is considering buying a new machine that will increase its fixed costs by $40,000 per year and decrease its variable costs by $8 per unit. Prepare a contribution margin income statement for the next year assuming the company purchases this machine. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 $ Sales Variable costs Contribution margin Fixed costs Income/Loss 0 0