Blossom Orthotics Company distributes a specialized ankle support that sells for $40. The company's variable costs are $30 per unit; fixed costs total $370,000 each year. (a1) Your answer is incorrect. Calculate contribution margin ratio. (Round ratio to 2 percentage places, e.g. 0.38 = 38%.) % Contribution margin ratio e Textbook and Media Save for Later Last saved 12 minutes ago. Attempts: 1 of 3 used Submit Answer Saved work will be auto-submitted on the due date. Auto- submission can take up to 10 minutes. If sales increase by $40,000 per year, by how much should operating income increase? (Use the rounded contribution margin ratio calculated in the previous part.) $ Change in operating income e Textbook and Media Save for Later Attempts: 0 of 3 used Submit Answer (b) Last year, Blossom sold 40,000 ankle supports. The company's marketing manager is convinced that a 10% reduction in the sales price, combined with a $52,000 increase in advertising, will result in a 35% increase in sales volume over last year. Compute the projected income. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Projected income $ Should Blossom implement the price reduction? Blossom implement the price reduction because the estimated operating income is than the current