Presented here is the income statement for Fairchild Company for March:

Sales $ 79,500

Cost of goods sold 42,500

Gross profit $ 37,000

Operating expenses 31,500

Operating income $ 5,500

Based on an analysis of cost behavior patterns, it has been determined that the company's contribution margin ratio is 25%.

Required:

a. Rearrange the preceding income statement to the contribution margin format.

b. Calculate operating income if sales volume increases by 6%.

c. Calculate the amount of revenue required for Fairchild to break even.