Spartan Systems reported total sales of $395,000, at a price of $50 and per unit variable expenses of $25, for the sales of their single product.

	Total	Per Unit
Sales	$395,000	$50
Variable expenses	197,500	25
Contribution margin	197,500	$25
Fixed expenses	119,000
Net operating income	$78,500

What is the amount of contribution margin if sales volume increases by 20%?

$197,500

$94,200

$237,000

$62,800

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