For a recent year, McDonald's Company-owned restaurants had the following sales and expenses (in millions): Sales $27,400 Food and packaging $8,762 Payroll 6,900 Occupancy (rent, depreciation, etc.) General, selling, and administrative expenses 6,918 4,000 $26,580 Income from operations $820 Assume that the variable costs consist of food and packaging, payroll, and 40% of the general, selling, and administrative expenses. a. What is McDonald's contribution margin? Round to the nearest million. (Give answer in millions of dollars.) million b. What is McDonald's contribution margin ratio? % c. How much would income from operations increase if same-store sales increased by $1,600 million for the coming year, with no change in the contribution margin ratio or fixed costs? Round your answer to the closest million $ million Check My Work 1 more Check My Work uses remaining Previous Next