Sandhillsells a learning system that helps preschool and elementary students learn basic math facts and concepts. The company's income statement from last month is as follows:

Total

Per Unit

Sales revenue

$662,500$53Variable expenses265,00021.20Contribution margin397,500$31.80Fixed expenses249,000Operating income$148,500

(a)

What isSandhill's contribution margin ratio? Its variable cost ratio?(Round ratios to 2 percentage places, e.g. 0.38 = 38%.)

Contribution margin ratioenter contribution margin ratio in percentages rounded to 0 decimal places

%Variable cost ratioenter variable cost ratio in percentages rounded to 0 decimal places

%

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(b1)

Compute breakeven sales.(Use the rounded contribution margin ratio calculated in the previous part to compute breakeven sales.)

Breakeven sales$

enter breakeven sales amount in dollars

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(b2)

What isSandhill's margin of safety?

Margin of safety$

enter margin of safety amount in dollars

PLEASE JUST ADDRESS THE PORTION BELOW:

IfSandhill's sales were to increase by $100,000with no change in fixed expenses, by how much would operating income increase?(Use the rounded contribution margin ratio calculated in the previous part to compute breakeven sales.)

Net Operating income will increase by$

enter net operating income increase amount in dollars