The common Appli. o First Step to IELTS P... A Alma College Sign Up Homework APU Online Applica lll Final reviews 4 Problem 21-1A Contribution margin income statement and contribution margin ratio LO A1 The following costs result from the production and sale of 4,850 drum sets manufactured by Tight Drums Company for the year ended December 31, 2019. The drum sets sell for $335 each. The company has a 30% income tax rate. ok S 164,900 480,150 208,550 cos 155,200 Variable production costs Plastic for casing Wages of assembly workers Drum stands Variable selling costs Sales commissions Fixed manufacturing costs Taxes on factory Factory maintenance Factory machinery depreciation Fixed selling and ministrative costs Lease of equipment for sales staff Accounting staff salaries Administrative management salaries 6,500 13,000 73,000 13,000 63,000 143,000 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? Complete this question by enterina vour answers in the tabs below. dication.com/ext/map/index.html?_con=con&external browser launch Url=http%253A%252F%25 The Common Appli...ist First Step to IELTS P... A Alma College > Sign Up APU Online mework Required 1 Required 2 Required 3 Compute its contribution margin per unit and its contribution margin ratio. (Round Contribution margin ra percentage.) TIGHT UMS COMPANY Contribution Margin Income Statement (partial) For Year Ended December 31, 2019 Per Unit $ 1,624,750 5 Sales Variable costs: Plastic for casing Wages of assembly workers Drum stands Sales commissions 164,900 480,150 208.550 155,200 Total variable costs 1,008.800 615,950 Contribution margin $ Contribution Margin Ratio $ Sales Variable costs 1,624.750 1,008 800 100% 4.850% 127% Contribution margin S 615,950