Without Government Contract With Government Contract Impact Regular Government Total Revenue S 2,960,000 2,590,000 $ 245,000 S 2,835,000 S 125,000 decrease Variable manufacturing costs 1,200,000 1,050,000 150,000 1,200,000 none Variable marketing costs 200,000 175,000 175.000 25,000 decrease Contribution margin 1,560,000 1.365.000 S 95,000 1,460,000 100,000 decrease Fixed manufacturing costs 360,000 360,000 none Fixed marketing costs 420,000 420.000 none Income S 780,000 S 680,000 S 100,000 decrease