Use the following information for the Exercises below. [The following information opplies to the questions displayed below] A contribution income statement for the Nantucket inn is shown below. (Ignore income taxes.) EX 7-32 (Static) Continuation of Preceding Exercise (LO 7.4, 7-7) Prepare a new contribution income statement for the Nontucket inn in each of the following independent situations. (lignore income taxes.) Required: 1. Prepare a contribution income statement if the hotel's volume of activity increases by 20 percent, and fixed expenses increase by 40 percent. 2. Prepare a contribution income statement if the ratio of varioble expenses to revenue doubles. There is no change in the hotel's volume of activity. Fixed expenses decline by $25,000. Complete this question by entering your answers in the tabs below. Prepare a contribution income statement if the hotel's volume of activity increases by 20 percent, and fixed expenses increase b 40 percent. - Prepare a contribution income statement if the ratio of variable expenses to revenue doubles. There is no change in the hotel's volume of activity. Fixed expenses decline by $25,000. Complete this question by entering your answers in the tabs below. Prepare a contribution income statement if the hotel's volume of activity increases by 20 percent, and fixed expenses increase by 40 percent