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 $260 per ATV. The remaining selling expenses are fixed. Administrative expenses are 10% variable and 90% fixed. The company does not manufacture its own ATVs; it purchases them from a supplier for $1,870 each.

POLARIX Income StatementConsumer ATV Department For Year Ended December 31
Sales				$	638,400
Cost of goods sold					314,160
Gross margin					324,240
Operating expenses
Selling expenses	$	170,000
Administrative expenses		40,700			210,700
Net income				$	113,540

Required: 1. Prepare an income statement for the current year using the contribution margin format. (Do not round intermediate calculations. Round contribution margin per ATV value to the nearest whole number.)