Suppose that Larimer Company sells a product for $19. Unit costs are as follows:

Direct materials	$2.05
Direct labor	1.20
Variable factory overhead	2.15
Variable selling and administrative expense	1.06

Total fixed factory overhead is $55,520 per year, and total fixed selling and administrative expense is $38,530.

Required:

1. Calculate the variable cost per unit and the contribution margin per unit. Round your answers to two decimal places.

Unit variable cost
Unit contribution margin

2. Calculate the contribution margin ratio and the variable cost ratio.

Contribution margin ratio	%
Variable cost ratio	%

3. Calculate the break-even units.

4.	Prepare a contribution margin income statement at the break-even number of units. Enter all amounts as positive numbers.