Barnes Company Sells Three Products: A,B,and C As Shown by These Data,operating Income Is Budgeted at $36,400

Barnes Company sells three products: A,B,and C.Budgeted sales by product and in total for the coming month are as follows:
$\begin{array}{|l|r|r|r|r|}\hline & \text { Product A } && \text { Product B } & \\\hline \% \text { of total sales } & 48 \% & & 20 \% & \\\hline \text { Sales } & \$ 240,000 & 100 \% & \$ 100,000 & 100 \% \\\hline \text { Variable exp. } & \underline{72,000} & \underline{30 \%} & 80,000 & 80 \% \\\hline \begin{array}{l}\text { Contrbution } \\\text { margin }\end{array} & \$ 168,000 & \mathbf{7 0 \%} & \$ 20,000 & 20 \% \\\hline \text { Fixed expense } & & & &\\\hline\end{array}$
$\begin{array}{|l|r|r|r|r|}\hline & \text { Product C } & & \text { Total } & \\\hline \text { \% of total sales } & 32 \% & & 100 \% & \\\hline \text { Sales } & \$ 160,000 & 100 \% & \$ 500,000 & 100 \% \\\hline \text { Variable exp. } & 88,000 & 55 \% & 240,000 & 48 \% \\\hline \begin{array}{l}\text { Contribution } \\\text { margin }\end{array} & \$ 72,000 & \underline{45 \%} & \$ 260,000 & 52 \% \\\hline \text { Fixed expense } & & & \underline{223,600} \\\hline \text { Operating income } & & & \$ 36,400 \\\hline\end{array}$
$$\begin{array} { | l | l | r | } \hline \text { Break-even sales - } & \text { Fixed Experises } = & \text { \$223,600 } = \$ 430,000 \\\text { Budgeted: } & \\\hline & \text { CM Ratio } & 0.52\\\hline\end{array}$$
As shown by these data,operating income is budgeted at $36,400 for the month,and break-even sales at $430,000.
Assume that actual sales for the month total $500,000 as planned.Actual sales by product are:
A $160,000
B $200,000
C $140,000
Required:
a)Prepare a contribution income statement for the month based on actual sales data.Assume variable expenses as a percentage of sales and total fixed expenses are the same as budgeted.Present the income statement in the format shown in the images above.
b)Compute break-even sales for the month,based on actual data.
c)Explain why the company did not meet the budgeted operating results or break-even sales even though it met its $500,000 sales budget.