Scenario 4 Start from the original contribution margin statement. The Marketing Department would like to run a special promotion to increase sales in the grocery stores in the Southern region. They believe that by decreasing the price of a box of muesli by 0.10, that sales will increase by 10%. 22. If the Marketing Department's assumptions are true, what will be the net operating income? Should Muesli AG go ahead with the promotion? 23. How does the break even point with the sales promotion in place compare to the break even point you originally calculated? 24. Compare the contribution margin ratio in this scenario to the contribution margin ratio in scenario 1. What caused the change? Scenario 4 Contribution Margin Statement Ratios Per Unit Information Break Even [23] boxes sold # of Boxes Sales Revenues Variable Expense Contribution Margin Fixed Expenses Net Operating Income [22] [24] CM per unit Sales Revenue