Serie Inc. reported the following results from last year's operations:   Sales$16,800,000Variable expenses 10,640,000Contribution margin 6,160,000Fixed expenses 5,488,000Net operating income$  672,000Average operating assets$7,000,000At the beginning of this year, the company has a $2,100,000 investment opportunity with the following characteristics: Sales$2,520,000 Contribution margin ratio  50% of salesFixed expenses$1,108,800 Last year's margin was closest to:

A. 36.7%
B. 67.3%
C. 4.0%
D. 9.6%


Answer: C

Business

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