Contribution Margin and Contribution Margin Ratio For a recent year, Wicker Company-owned restaurants had the following sales and expenses (in millions): Sales $26,600

Food and packaging $9,828

Payroll 6,700

Occupancy (rent, depreciation, etc.) 5,372

General, selling, and administrative expenses 3,900

_________________________________________

$25,800

Income from operations $800

Assume that the variable costs consist of food and packaging, payroll, and 40% of the general, selling, and administrative expenses.

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

$________million

b. What is Wicker Company's contribution margin ratio? Round to one decimal place.

_________%

c. How much would income from operations increase if same-store sales increased by $1,600 million for the coming year, with no change in the contribution margin ratio or fixed costs? Round your answer to the closest million.

$_________ million