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[The following information applies to the questions displayed below.] Barnes Company reports the following for its product for its first year of operations.

Direct materials	$ 30	per unit
Direct labor	$ 20	per unit
Variable overhead	$ 11	per unit
Fixed overhead	$ 60,000	per year
Variable selling and administrative expenses	$ 3	per unit
Fixed selling and administrative expenses	$ 22,000	per year

The company sells its product for $150 per unit. Compute contribution margin using variable costing assuming the company (a) produces and sells 2,400 units and (b) produces 3,000 units and sells 2,400 units.