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Traditional Yams Auto-Yams Sales $400,000 $400,000 Variable costs 320,000 160,000 Contribution margin 80,000 240,000 Fixed costs 30,000 190,000 Net income $50,000 $50,000 The investment banker

Traditional Yams

Auto-Yams

Sales $400,000 $400,000
Variable costs 320,000 160,000
Contribution margin 80,000 240,000
Fixed costs 30,000 190,000
Net income $50,000

$50,000

The investment banker is interested in acquiring one of these companies. However, she is concerned about the impact that each company

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