Question: Last year, Lee, Inc., sold 10,000 units. The variable expense ratio was 80%. Total fixed costs were $50,000. Assume that an increase in unit sales

Last year, Lee, Inc., sold 10,000 units. The variable expense ratio was 80%. Total fixed costs were $50,000. Assume that an increase in unit sales will lead to an increase in total sales by $10,000 next year. If cost behavior patterns remain unchanged, by how much will the company's contribution margin change?

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