39 and 40

39. If sales are $820,000, variable costs are 55% of sales, and operating income is $260,000, what is the contribution margin ratio? A. 55% B. 32% C. 62% D. 45% 40. If fixed costs are $1,200,000, the unit selling price is $240, and the unit variable costs are $110, what is the amount of sales required to realize an operating income of $200,000? A. 12,000 units B. 5,833 units C. 10,769 units D. 9,231 units