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1 Q3 Spartan Systems reported total sales of $360,000, at a price of $50 and per unit variable expenses of $38, for the sales of

1 Q3

Spartan Systems reported total sales of $360,000, at a price of $50 and per unit variable expenses of $38, for the sales of their single product.

Total Per Unit
Sales $360,000 $50
Variable expenses 198,000 38
Contribution margin 162,000 $12
Fixed expenses 112,000
Net operating income $50,000

What is the amount of contribution margin if sales volume increases by 40%?

$162,000$70,000$226,800$30,000

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