The following is the income statement from Ajax Corporation, a merchandising firm.

Ajax Corporation Income Statement for the Most Recent Year

Revenue $1,525,000

Cost of goods sold 900,000

Transport in 24,500

Gross margin $600,500

Administration costs 220,000

Selling costs 240,000

Profit $140,500

You learn that $18,000 in transport in represents fixed costs, and Ajax pays its sales persons a commission of 6%. That is, a person selling $1,000 worth of items would earn a commission of $60. All administration costs are fixed.

Required:

Prepare an income statement in the contribution margin format.