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The following information was taken from the segmented income statement of Restin, Incorporated, and the company's three divisions: Restin, Incorporated Los Angeles Division Bay Area

The following information was taken from the segmented income statement of Restin, Incorporated, and the company's three divisions:
Restin, Incorporated Los Angeles Division Bay Area Division Central Valley Division
Revenues $ 1,120,000 $ 320,000 $ 355,000 $ 445,000
Variable operating expenses 626,000176,000195,000255,000
Controllable fixed expenses 255,00080,00090,00085,000
Noncontrollable fixed expenses 105,00030,00035,00040,000
In addition, the company incurred common fixed costs of $22,500.
Assume that the Los Angeles division increases its promotion expense, a controllable fixed cost, by $23,500. As a result, revenues increased by $64,000. If variable expenses are tied directly to revenues, what is the new Los Angeles segment profit margin?

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