Big Bikes manufactures and sells mountain bikes in two sales territories, West Coast and East Coast. Information for the year follows. The company sold $500$ bikes in each territory.

Per unit West Coast East Coast

Sales price $ $1,000$ $ $960$

Variable cost of goods sold $540540$

Variable selling and administrative expenses $12060$

a$.$ Compute contribution margin $($in dollars$)$ for each sales territory.

b$.$ Compute contribution margin ratio for each sales territory. Which sales territory has the better contribution margin ratio?