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

Units produced and sold		85,000
Total revenues and costs
Sales revenue	$	264,000
Direct materials costs		68,000
Direct labor costs		34,000
Variable manufacturing overhead		17,000
Fixed manufacturing overhead		44,000
Variable marketing and administrative costs		13,600
Fixed marketing and administrative costs		32,000

Required:

a. Prepare a gross margin income statement.

b. Prepare a contribution margin income statement.