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Morton Companys contribution format income statement for last month is given below: ** I wan to done with the rest please:

Morton Company's contribution format income statement for last month is given below: Sales (44,000 unitsx $26 Variable expenses $1,144,000 800,800 per unit) Contribution margin Fixed expenses 343,200 274,560 Net operating income $ 68,640 The industry in which Morton Company operates is quite sensitive to cyclical movements in the economy. Thus, profits vary considerably from year to year according to general economic conditions. The company has a large amount of unused capacity and is studying ways of improving profits Required 1. New equipment has come onto the market that would allow Morton Company to automate a portion of its operations. Variable expenses would be reduced by $7.80 per unit. However, fixed expenses would increase to a total of $617,760 each month. Prepare two contribution format income statements, one showing present operations and one showing how operations would appear if purchased. (Round your "Per unit" answers to 2 decimal places.) the new equipment is Answer is complete and correct Morton Company Contribution Income Statement Present Proposed Amount Per Unit Amount Per Unit O $ 1,144,000.$ 1000% |$ 1,144,000$ Sales Variable expenses Contribution margin Fixed expenses Net operating income 26.00 26.00 100 % 800,800. 18.20. 700% | 457,600. 10.400 400% 343,200 7.80 30 % 686,400 15.60 617,760 60 % 274,560 68,640 $ 68,640

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