Answer:
1.                         67,000      87,000	107,000
Total costs:    
Variable costs	261,300     339.300	417.300
Fixed costs     360,000   360,000	360,000
Total costs    $621,300	$699,300	$777,300
Cost per unit:    
Variable costs      $3.9           $3.9          $3.9
Fixed costs           $5.37	$4.14            $3.36
Total cost      $9.27          $8.04          $7.26
2. Particulars                       Amount($)
Sales(97,000*8.08)        $783,760
Variable costs(97,000*3.9)	$378,300
Contribution margin        $405,460
Fixed costs                        $360,000
Net operating income        $45,460
Explanation:
1.  The schedule of the company’s total costs and costs per unit would be as follows:
                        67,000      87,000	107,000
Total costs:    
Variable costs	261,300     339.300	417.300
Fixed costs     360,000   360,000	360,000
Total costs    $621,300	$699,300	$777,300
Cost per unit:    
Variable costs      $3.9           $3.9          $3.9
=(261300/67000)
Fixed costs           $5.37	$4.14            $3.36
=(360,000/67000)        =(360,000/87000)     =(360,000/107,000)
Total cost      $9.27          $8.04          $7.26
2. The contribution format income statement for the year would be as follows:
Particulars                       Amount($)
Sales(97,000*8.08)        $783,760
Variable costs(97,000*3.9)	$378,300
Contribution margin        $405,460
Fixed costs                        $360,000
Net operating income        $45,460