In March, Mitchell Limited had sales of $324,800 (58,000 units), total variable expenses of $227,360, and total fixed expenses of $45,000.

1. What is the companys CM ratio?

2. Calculate the break-even level of sales in dollars.

3. Estimate the change in the companys operating income if it increased its total sales by $18,480. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

	Original	New
Operating income