The following information was taken from the segmented income statement of Restin, Inc., and the company's three divisions:

	Restin, Inc.		Los Angeles Division				Bay Area Division			Central Valley Division
Revenues	$	1,072,000		$	304,000		$	339,000			$	429,000
Variable operating expenses		597,200			167,200			185,000				245,000
Controllable fixed expenses		249,000			78,000			88,000				83,000
Noncontrollable fixed expenses		99,000			28,000			33,000				38,000

In addition, the company incurred common fixed costs of $21,900.

Assume that the Los Angeles division increases its promotion expense, a controllable fixed cost, by $21,700. As a result, revenues increased by $45,600. If variable expenses are tied directly to revenues, the new Los Angeles segment contribution margin is:

Multiple Choice

• $41,300.

• $29,620.

• $63,000.

• $59,150.