Curvy Confections is considering building a new plant in Europe. It predicts sales at the new plant to be 39,000 units at $10.00/unit.

Below is a listing of estimated expenses.

Category	Total Annual Expenses	% of Annual Expense that are Fixed
Materials	$20,000	20%
Labor	$25,000	30%
Overhead	$60,000	40%
Marketing/Admin	$30,000	50%

A European firm was contracted to sell the product and will receive a commission of 15% of the sales price. No U.S. home office expenses will be allocated to the new facility. The contribution margin ratio for Curvy Confections is

A.272.73%.

B.36.67%.

C.78.33%.

D.63.33%.