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Contribution Margin and Contribution Margin Ratio For a recent year, McDonald's Company-owned restaurants had the...

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Contribution Margin and Contribution Margin Ratio For a recent year, McDonald's Company-owned restaurants had the following sales and expenses (in millions): Sales $28,100 Food and packaging Payroll $6,996 7,100 9,064 Occupancy (rent, depreciation, etc.) General, selling, and administrative expenses 4,100 $27,260 Income from operations $840 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 income from operations increase if same-store sales increased by $1,700 million for the coming year, with no change in the contribution margin ratio or fixed costs? Round your answer to the closest million. million

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