Question: ABC Company's sales are $10,000,000. Its variable costs are 40% of sales. Its net income is $1,500,000. Calculate ABC's contribution margin ratio. Enter the

ABC Company's sales are $10,000,000. Its variable costs are 40% of sales.

ABC Company's sales are $10,000,000. Its variable costs are 40% of sales. Its net income is $1,500,000. Calculate ABC's contribution margin ratio. Enter the percentage as a decimal to three decimal places (e.g., 62.5% would be .625).

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