Prepare an income statement in the variable costing format, indicating the projected annual income from operations if Proposal 3 is accepted. The expenditure of $43,200 for the rental of additional warehouse space can be added to the fixed operating expenses. Enter all amounts as positive numbers.

Extreme Camping Company Contribution Margin"Proposal 3

Size S Size L Total

Sales
Variable cost of goods sold
Manufacturing margin
Variable operating expenses
Contribution margin
Fixed costs:
Manufacturing costs
Operating expenses
Total fixed costs
Income from operations