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 $3,800 each. Variable selling expenses are $300 per ATV The remaining selling expenses are fixed. Administrative expenses are 30% variable and 70% ed. The company does not manufacture its own ATVs; it purchases them from a supplier for $1,860 each