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Requirements 1. Compute the contribution margin of McCarthy Men's Clothing. 2. Compute the contribution margin percentage. 3. Mr. McCarthy estimates that he can increase units sold, and hence revenues by 15% by incurring additional advertising costs of $13,000. Calculate the impact of the additional advertising costs on operating income. 4. What other actions can Mr. McCarthy take to improve operating income? McCarthy Men's Clothing's revenues and cost data for 2020 are as follows: (Click the icon to view the data.) Mr. McCarthy, the owner of the store, is unhappy with the operating results. An analysis of other operating costs reveals that it includes $25,000 variable costs, which vary with sales volume, and $20,000 (fixed) costs. Read the Data table