Polarix is a retailer of ATVs (all-terrain vehicles) and accessories. An income statement for its Consumer ATV Department for the current year follows. ATVs sell for $4,400 each. Variable selling expenses are $240 per ATV. The remaining selling expenses are fixed. Administrative expenses are 50% variable and 50% fixed. The company does not manufacture its own ATVs; it purchases them from a supplier for $1,850 each. POLARIX Income Statement-consumer ATV Department For Year Ended December 31, 2017 Sales $629,200 Cost of goods sold 264,550 Gross margin 364,650 Operating expenses Selling expenses $150,000 Administrative expenses 40,300 190,300 Net income $174,350 Required: 1. Prepare an income statement for this current year using the contribution margin format. (Round contribution margin per ATV to the nearest dollar amount.) For Year Ended December 31, 2017 Sales Less: Variable expenses Variable cost of goods sold Variable selling expenses Total administrative expenses Variable cost of goods sold Net income (loss) 2. For each ATV sold during this year, what is the contribution toward covering fixed expenses and earning income? Contribution margin per ATV