Spartan Systems reported total sales of $450,000, at a price of $30 and per unit variable expenses of $21, for the sales of their single product.
| |
Total |
Per Unit |
| Sales |
$450,000 |
$30 |
| Variable expenses |
315,000 |
21 |
| |
|
|
| Contribution margin |
135,000 |
$9 |
| |
|
|
| Fixed expenses |
115,000 |
|
| |
|
|
| Net operating income |
$20,000 |
|
| |
|
|
What is the amount of contribution margin if sales volume increases by 40%? (Round your intermediate calculations to 2 decimal places and your final answer to the nearest whole number.)