Answer:
WELLINGTON, INC.
Projected Contribution Margin Income Statement
for Year Ended December 31, 2020
$
Sales(800 units at $225 per unit) 180,000
Variable costs (800 units at $110 per unit) 88,000
Contriution Margin 92,000
Fixed Cost (1.2*35,000) 42,000
Net Income (Loss) 50,000
Step-by-step explanation:
Variable cost =$120-$10=$110
Fixed cost increase by 20%=1.2*$35,000.