The following costs result from the production and sale of 4,150 drum sets manufactured by Tight Drums Company for the year ende December 31. The drum sets sell for $265 each. Variable costs Plastic for casing Fixed costs Wages of assembly workers Drum stands Sales commissions Taxes on factory Factory maintenance Factory machinery depreciation Lease of equipment for sales staff Accounting staff salaries Administrative salaries Required: 1. Prepare a contribution margin income statement for the year. 2. Compute contribution margin per unit and contribution margin ratio. 3. For each dollar of sales, how much is left to cover fixed costs and contribute to income? Required Complete this question by entering your answers in the tabs below. and conte F2 Sales Variable costs: ontribution margin Prepare a contribution margin income statement for the year. Required 2 Required 3 $ 83,000 352,750 120,350 74,700 TIGHT DRUMS COMPANY Contribution Margin Income Statement For Year Ended December 31 11,500 23,000 83,000 23,000 73,000 153,000 80 F3 a F4 1 F5 F7

The following costs result from the production and sale of 4,150 drum sets manutactured by Tight Drums Company for the year end Decomber 31 . The drum sets sell for $265 each. Required: 1. Prepare a contribution margin income statement for the year. 2. Compute contribution margin per unit and contribution margin ratia. 3. For each dollar of sales, how much is left to cover fixed costs and contribute to income? Complete this question by entering your answers in the tabs below. Prepare a contribution margin income statement for the year