Folsom Inc Required:
Redo the Company's Contribution Format Income Statement Assuming That

Essay

Folsom Inc., which produces and sells a single product, has provided the following contribution format income statement for August:
$$\begin{array} { l r } \text { Sales (4,600 units) } & \$ 105,800 \\\text { Variable costs } & 41,400 \\\text { Contribution margin } & 64,400 \\\text { Fixed costs } & 46,000 \\\text { Operating profit } & \$ 18,400\end{array}$$
Required:
Redo the company's contribution format income statement assuming that the company sells 4,500 units.