Problem 21-1A Contribution margin income statement and contribution margin ratio LO A1 The following costs result from the production and sale of 1,000 drum sets manufactured by Tight Drums Company for the year ended December 31, 2019. The drum sets sell for $500 each. The company has a 25% income tax rate. points eBook $ 17,000 82.000 26,000 15,000 Print Variable production costs Plastie for casing Wages of assembly workers Drum stands Variable selling costs Sales commissions Pixed manufacturing costs Taxes on factory Factory maintenance Factory machinery depreciation Pixed selling and administrative costs Lease of equipment for sales staff Accounting staff salaries Administrative management salaries 5.000 10,000 40,000 References 10,000 35,000 125,000 Required: 1. Prepare a contribution margin income statement for the year. 2. Compute its contribution margin per unit and its contribution margin ratio. 3. For each dollar of sales, how much is left to cover fixed costs and contribute to operating income? Prepare a contribution margin income statement for the year. $ 500,000 TIGHT DRUMS COMPANY Contribution Margin Income Statement For Year Ended December 31, 2019 Sales Variable costs: Plastic for casing 17,000 Wages of assembly workers 82,000 Drum stands 26,000 Sales commissions 15,000 140,000 360,000 Total variable costs Contribution margin Fixed costs Taxes on factory Factory maintenance Factory machinery depreciation Lease of equipment for sales staff Accounting staff salaries Administrative management salaries 5,000 10,000 40,000 10,000 35,000 125,000 Total fixed costs Pretax income Income tax 225,000 135,000 33,750 101,250 Net income | $ Required 1 Required 2 Required 3 For each dollar of sales, how much is left to cover fixed costs and contribute to operating income? (Round your answer to 2 decimal places.... For each dollar of sales, how much is left to cover fixed costs and contribute to operating income