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Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all units it produces each month. The relevant range is $0$ to $1,700$ units, and monthly production costs for the production of $1,300$ units follow. Morning Dove$$s utilities and maintenance costs are mixed with the fixed components shown in parentheses.

Production Costs Total Cost

Direct materials $ $3,100$

Direct labor $7,300$

Utilities $($$$110$ fixed$)600$

Supervisor$$s salary $2,500$

Maintenance $($$$330$ fixed$)500$

Depreciation $800$

Suppose it sells each birdbath for $$24.$

Required:

Calculate the unit contribution margin and contribution margin ratio for each birdbath sold.

Complete the contribution margin income statement assuming that Morning Dove produces and sells $1,500$ units.