[The following information applies to the questions displayed below.] Hudson Company reports the following contribution margin income statement.

HUDSON COMPANY
Contribution Margin Income Statement
For Year Ended December 31
Sales (10,000 units at $300 each)	$ 3,000,000
Variable costs (10,000 units at $240 each)	2,400,000
Contribution margin	600,000
Fixed costs	420,000
Income	$ 180,000

The company is considering buying a new machine that will increase its fixed costs by $42,500 per year and decrease its variable costs by $10 per unit. Prepare a contribution margin income statement for the next year assuming the company purchases this machine.

HUDSON COMPANY
Contribution Margin Income Statement
For Year Ended December 31
Sales :
Variable costs:
Contribution margin:
Fixed costs:
Income/Loss: