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Question: What is the company's CM Ratio? If monthly sales increases by $60,000 and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase?


TotalPer Unit
Sales $600,000 $50
Variable Expenses 456,000 38
Contribution Margin 144,000 $12
Fixed Expenses 100,000
Net Operating Income 44,000

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  • Reference No.:- M92574744

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