Answer:
CVP Income Statement
Sales revenue 2,350,000
Less: Total variable cost <u>1,110,000</u>
Contribution margin 1,240,000
Less: Fixed cost <u>663,000</u>
Net Operating income <u>$577,000</u>
Note:
Cost of goods sold 940000
Selling expenses 74000
Admin expense <u>96000 </u>
Total variable cost <u>1110000</u>
Cost of goods sold 464000
Selling expenses 54000
Admin expense <u>145000</u>
Total Fixed cost <u>663000</u>