Last month when Holiday Creations, Inc., sold 38,000 units, total sales were $292,000, total variable expenses were $230,680, and fixed expenses were $39,900.

Required:

1. What is the companys contribution margin (CM) ratio?

2. What is the estimated change in the companys net operating income if it can increase total sales by $2,600? (Do not round intermediate calculations.)

1.	Contribution margin ratio		%
2.	Estimated change in net operating income