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Sales Food and paper Payroll and employee benefits Occupancy and other expenses General, selling, and administrative expenses $22,000 $(2,900) (2,200) (4,200) (3,700) $(13,000) $9,000 Operating

Sales Food and paper Payroll and employee benefits Occupancy and other expenses General, selling, and administrative expenses $22,000 $(2,900) (2,200) (4,200) (3,700) $(13,000) $9,000 Operating income Assume that the variable costs consist of food and paper, payroll, 25% of occupancy and other expenses, and 40% of the general, selling, and administrative expenses. a. What is McDonald's contribution margin? 15,420 X million b. What is McDonald's contribution margin ratio? Round to one decimal place. 70 X % c. How much would operating income increase if same-store sales increased by $900 million for the coming year, with no change in the contribution margin ratio or fixed costs? Round your answer to the nearest tenth of a million (one decimal place). 630 X million Feedback Check My Work a. Sales minus total variable costs equals contribution margin. Contributinn marin divided hy sales anuals enntribution maroin ratio

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