The cost structure of Dennis's Retail Mart is dominated by variable costs with a contribution margin ratio of $0\mathrm{.}30$ and fixed costs of $$85,680.$ Every dollar of sales contributes $30$ cents toward fixed costs and profit. The cost structure of a competitor, Oakfield Convenience Store, is dominated by fixed costs with a higher contribution margin ratio of $0\mathrm{.}70$ and fixed costs of $$550,800.$ Every dollar of sales contributes $70$ cents toward fixed costs and profit. Both companies have sales of $$1,224,000$ for the year.

Required:

Compare the two companies$$ cost structures.

Suppose that both companies experience a $20$ percent increase in sales volume. By how much would each company$$s profits increase?