Question
I keep getting this wrong. please help For a recent year, McDonalds (MCD) company-owned restaurants had the following sales and expenses (in millions): Line Item
I keep getting this wrong. please help For a recent year, McDonalds (MCD) company-owned restaurants had the following sales and expenses (in millions): Line Item Description Amount Sales $22,000 Food and paper $(2,500) Payroll and employee benefits (2,500) Occupancy and other expenses (4,400) General, selling, and administrative expenses (4,600) Total $(14,000) Operating income $8,000 Assume that the variable costs consist of food and paper, payroll, 25% of occupancy and other expenses, and 40% of the general, selling, and administrative expenses. a. What is McDonald's contribution margin? fill in the blank 1 of 1$ 15,160 million b. What is McDonald's contribution margin ratio? Round to one decimal place. fill in the blank 1 of 1 68.9 % c. How much would operating income increase if same-store sales increased by $800 million for the coming year, with no change in the contribution margin ratio or fixed costs? Round your answer to the nearest tenth of a million (one decimal place). fill in the blank 1 of 1$ 55,120 million
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