Last month when Harrison Creations, Inc., sold 35,000 units, total sales were $281,000, total variable expenses were $227,610, and fixed expenses were $35,900.
| Required: | |
| 1. |
What is the company%u2019s contribution margin (CM) ratio? (Omit the “%” sign in your response.) |
| Contribution margin ratio | % |
| 2. |
Estimate the change in the company%u2019s net operating income if it were to increase its total sales by $1,400. (Omit the “$” sign in your response.) |
| Estimated change in net operating income | $ |