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For a recent year, McDonald's (MCD) company-owned restaurants had the following sales and expenses (in millions): Sales $24,600 Food and packaging $(8,596) Payroll (6,200) Occupancy

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For a recent year, McDonald's (MCD) company-owned restaurants had the following sales and expenses (in millions): Sales $24,600 Food and packaging $(8,596) Payroll (6,200) Occupancy (rent, depreciation, etc.) (5,464) General, selling, and administrative expenses (3,600) $(23,860) Operating income $740 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 operating income increase if same-store sales increased by $1,500 million for the coming year, with no change in the contribution margin ratio or fixed costs? Round your answer to the closest million. million $

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