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uke Company (Luke) has a contribution margin of $600,000 and operating income of $200,000. If sales increase by 15%, what percentage will Luke's operating profits

uke Company ("Luke") has a contribution margin of $600,000 and operating income of $200,000. If sales increase by 15%, what percentage will Luke's operating profits increase?

a.

45%

b.

5%

c.

15%

d.

60%

The BK Company had the following utility costs. What is the correct cost formula for these costs?

Kilowatts Used

100

200

300

400

Total Costs

$250,000

$282,000

$314,000

$346,000

a.

Y = 320x + $218,000

b.

None of the above answers is correct

c.

Y = 320x + $186,000

d.

Y = 800x

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