Question: 3. The additional contribution margin from the additional sales is computed as follows: $100,000 x 52.5% CM ratio = $52,500 Assuming no change in fixed

3. The additional contribution margin from the
3. The additional contribution margin from the additional sales is computed as follows: $100,000 x 52.5% CM ratio = $52,500 Assuming no change in fixed expenses, all of this additional contribution margin of $52,500 should drop to the bottom line as increased net operating income. This answer assumes no change in selling prices, variable costs per unit, fixed expense, or sales mix

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