The following costs result from the production and sale of 4,200 drum sets manufactured by Tight Drums Company for the year ended December 31, 2017. The drum sets sell for $270 each. The company has a 25% income tax rate.

Variable production costs
Plastic for casing $ 88,200
Wages of assembly workers 361,200
Drum stands 126,000
Variable selling costs
Sales commissions 79,800
Fixed manufacturing costs
Taxes on factory 12,000
Factory maintenance 24,000
Factory machinery depreciation 84,000
Fixed selling and administrative costs
Lease of equipment for sales staff 24,000
Accounting staff salaries 74,000
Administrative management salaries 154,000

Prepare a contribution margin income statement for the company.
Compute its contribution margin per unit and its contribution margin ratio

The direct labor budget of yuvwell corporation for the upcoming fiscal year contains the following details concerning budgeted direct labor-hours: 1st quarter 2nd quarter 3rd quarter 4th quarterbudgeted direct labor-hours 11,200 9,800 10,100 10,900the company uses direct labor-hours as its overhead allocation base. the variable portion of its predetermined manufacturing overhead rate is $6.00 per direct labor-hour and its total fixed manufacturing overhead is $80,000 per quarter. the only noncash item included in fixed manufacturing overhead is depreciation, which is $20,000 per quarter.required: 1. prepare the company’s manufacturing overhead budget for the upcoming fiscal year.2. compute the company’s predetermined overhead rate (including both variable and fixed manufacturing overhead) for the upcoming fiscal year.