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Chapter 19 Algorithmic Exercises Help Save & Exit Check 4 Polarix is a retailer of ATVs (al-terrain vehicles) and accessories. An income statement for its Consumer ATV Department for the current year follows. ATVs sell for $3,400 each. Variable selling expenses are $250 per ATV. The remaining seling expenses are fixed. Administrative expenses are 20% variable and 80% fored. The company does not manufacture its own ATVs, it purchases them from a supplier for $1.910 each 5 DO POLAREX Tnon statement-consumer ATV Department Tor Year Indend December 31 Sale $605,200 Cont of goods sold 3.39,90 Grosmarin 265,220 Operating expenses Selling expenses $150,000 Administrative 42.500 202.500 Net Income $72,720 Required: 1. Prepare an income statement for the current year using the contribution margin format. (Do not round Intermediate calculations Round contribution margin per ATV value to the nearest whole number) POLARIX Income Statement Conwumer ATV Department For Year Ended Doumber 1 D 4 18 NA 4. Required: 1. Prepare an income statement for the current year using the contribution margin format. (Do not round Intermediate calculations. Round contribution margin per ATV value to the nearest whole number.) 5 points POLARIX Income Statement Consumer ATV Department For Year Ended December 31 Sed took Hint 0 Drint References Not income (los) 2. For each ATV sold during this year, what is the contribution toward covering fored expenses and earning Income? Contribution margin per ATV

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