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

Units produced and sold $81,000$

Total revenues and costs

Sales revenue $ $290,000$

Direct materials costs $68,000$

Direct labor costs $30,000$

Variable manufacturing overhead $14,000$

Fixed manufacturing overhead $48,000$

Variable marketing and administrative costs $12,000$

Fixed marketing and administrative costs $38,000$

Required:

a$.$ Prepare a gross margin income statement.

b$.$ Prepare a contribution margin income statement.