ABC corporation produces and sells a single product. The company reported the following data:

Sales revenue	$779,000
Variable costs	506,000
Fixed costs	216,000

If the sales volume increases by 10%, which of the following is true

Select one:

a. Contribution margin will increase by $77,900

b. Fixed expenses will increase by $21,600.

c. Operating income will increase by $27,300.

d. Operating income will increase by $50,600.