The following data are from the accounting records of Niles Castings for year 2.

Units produced and sold		88,000
Total revenues and costs
Sales revenue	$	340,000
Direct materials costs		70,000
Direct labor costs		36,000
Variable manufacturing overhead		17,000
Fixed manufacturing overhead		43,000
Variable marketing and administrative costs		16,500
Fixed marketing and administrative costs		37,000

a. Prepare a gross margin income statement.

b. Prepare a contribution margin income statement.