Contribution Margin and Contribution Margin Ratio For a recent year, McDonalds (MCD) company-owned restaurants had the following sales and expenses (in millions): Sales $21,400 Food and packaging $(8,340) Payroll (5,400) Occupancy (rent, depreciation, etc.) (3,920) General, selling, and administrative expenses (3,100) $(20,760) Operating income $640 Assume that the variable costs consist of food and packaging, payroll, and 40% of the general, selling, and administrative expenses.

a. What is McDonald's contribution margin? Round to the nearest million. (Give answer in millions of dollars.) $ million

b. What is McDonald's contribution margin ratio? %

c. How much would operating income increase if same-store sales increased by $1,300 million for the coming year, with no change in the contribution margin ratio or fixed costs? Round your answer to the closest million. $ million