Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all units it produces each month. The relevant range is 01,800 units, and monthly production costs for the production of 1,400 units follow. Morning Doves utilities and maintenance costs are mixed with the fixed components shown in parentheses.

Production Costs	Total Cost
Direct materials	$	2,900
Direct labor		7,100
Utilities ($110 fixed)		570
Supervisors salary		2,600
Maintenance ($280 fixed)		500
Depreciation		900

Suppose it sells each birdbath for $24.

Required:

1. Calculate the unit contribution margin and contribution margin ratio for each birdbath sold.

2. Complete the contribution margin income statement assuming that Morning Dove produces and sells 1,600 units.