10.8 Income Statement - USA Andr ews Baldwin Chester Digb y Erie Ferris Sales $45,644 $46,302 $79,101 $60,384 $28,646 $58,233 Variable Costs Direct Material $16,714 $15,601 $24,149 $17,498 $10,381 $14,994 Direct Labor $15,455 $14,250 $23,815 $15,182 $8,552 $16,203 Shipping $2,646 $1,970 $3,596 $0 $1,508 $2,496 Defects $657 $1,846 $3,062 $1,362 $1,209 $1,991 Inventory Carr y $0 $0 $0 $0 $0 $0 Total V ariable Costs (Labor , Material, Carr y, Ship, Def ect)$35,472 $33,667 $54,621 $34,042 $21,650 $35,683 Contribution Mar gin $10,172 $12,635 $24,480 $26,342 $6,996 $22,550 Period Costs Depr eciation $0 $0 $0 $2,040 $0 $0 SG&A SG&A $3,124 $9,653 $6,143 $5,205 $4,329 $6,239 R&D $0 $611 $1,218 $0 $605 $1,380 Promotions