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Molina Company has provided the following information: Sales $779,000 Variable expenses 506,000 Fixed expenses 213,000 Which of the following statements is true, if the sales

Molina Company has provided the following information:

Sales

$779,000

Variable expenses

506,000

Fixed expenses

213,000

Which of the following statements is true, if the sales volume increases by 10%?

A.Fixed expenses will increase by $21,300.

B.Contribution margin will increase by $77,900.

C.Operating income will increase by $6,000.

D. Operating income will increase by $27,300.

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