Variable Costing Income Statement

On April 30, the end of the first month of operations, Joplin Company prepared the following income statement, based on the absorption costing concept:

Joplin Company Absorption Costing Income Statement For the Month Ended April 30 Sales (6,600 units) $198,000 Cost of goods sold: Cost of goods manufactured (7,700 units) $161,700 Inventory, April 30 (1,100 units) (23,100) Total cost of goods sold (138,600) Gross profit $59,400 Selling and administrative expenses (33,480) Operating income $25,920

If the fixed manufacturing costs were $35,574 and the fixed selling and administrative expenses were $16,400, prepare an income statement according to the variable costing concept. Round all final answers to whole dollars.

Joplin Company Variable Costing Income Statement For the Month Ended April 30

Sales $Sales Variable cost of goods sold:

Variable cost of goods manufactured $Variable cost of goods manufactured

Inventory, April 30 Inventory, April 30

Total variable cost of goods sold Total variable cost of goods sold

Manufacturing margin $Manufacturing margin

Variable selling and administrative expenses Variable selling and administrative expenses

Contribution margin $Contribution margin Fixed costs:

Fixed manufacturing costs $Fixed manufacturing costs

Fixed selling and administrative expenses Fixed selling and administrative expenses

Total fixed costs Total fixed costs

Operating income $Operating income