K Precious Pets is a specialty pet gift shop selling exotic pet-related terms 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 Precious Pets would like to translate the company's income statement into the contribution margin format. Since Precious Pets 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 ($20,000), which were also variable. Only 20% of the remainingseling and marketing expenses and 25% of the website expenses were varuble. Of the other operating expenses, 90% were fixed. Based on this information, prepare Precious Pets contribution margin income statement for last year Less Less Precious Pets Contribution Margin Income Statement For the Year Ended December 31. Data table 13 - X - 1 2 3 A Precious Pets B C Traditional Income Statement (Absorption Costing) 4 Sales revenue For the Year Ended December 31 5 Less: Cost of goods sold S 985,000 665,000 6 Gross profit $ 69 320,000 7 Less operating expenses: 8 Selling and marketing expenses $ 66,000 9 Website maintenance expenses 58,500 10 10 Other operating expenses 17,400 141,900 11 Operating income 178,100 Print Done