Universal Travel uses the contribution margin income statement internally. Universal's first quarter results are as follows:

View the income statement.

Universal's relevant range is sales of between $$150,000$ and $$630,000.$

Read the requirements.

Requirement $1.$ Prepare contribution margin income statements at sales levels of $$250,000$ and $$470,000.($Hint: Use the contribution margin ratio.$)$

Begin by preparing the contribution margin income statement at the $$250,000$ level. $($Round the variable expense rate to the nearest whole percent. Enter losses with a minus sign or parentheses.$)$

Universal Travel uses the contribution margin income statement internally. Universal's first quarter results are as follows:

Vlew the income statement.

Universal's relevant range is sales of between $$150,000$ and $$630,000.$

Read the requirements.

Requirement $1.$ Prepare contribution margin income statements at sales levels of $$250,000$ and $$470,000.($Hint: Use the contribution margin ratio.$)$

Begin by preparing the contribution margin income statement at the $$250,000$ level. $($Round the variable expense rate to the nearest whole percent. Enter losses with a minus sign or parentheses

Universal Travel

Contribution Margin Income Statement

Three Months Ended March $31$

Income Statement

Sales revenue

Less: Variable expenses

Contribution margin

Less: Fixed expenses

Operating income $($loss$)$

Requirements

Operating income

Universal Travel

Contribution Margin Income Statement

Three Months Ended March $31$

$\backslash$table$[[$Sales revenue,$$,450,000],[$Less: Variable expenses,,$171,000],[$Contribution margin,$$,279,000],[$Less: Fixed expenses,,$173,600],[$Operating income,$$,105,400]]$

Prepare contribution margin income statements at sales levels of $$250,000$ and $$470,000.($Hint: Use the contribution margin ratio.$)$

Compute breakeven sales in $$ollars$.$