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Last month when Holiday Creations, Inc., sold 43,000 units, total sales were $300,000, total variable expenses were $249,000, and fixed expenses were $36,200. Required: 1.

Last month when Holiday Creations, Inc., sold 43,000 units, total sales were $300,000, total variable expenses were $249,000, and fixed expenses were $36,200.

Required:
1.

What is the companys contribution margin (CM) ratio?

2.

Estimate the change in the companys net operating income if it were to increase its total sales by $1,900.

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