Schister Systems uses the following data in its Cost-Volume-Profit analyses:
Total
Sales = $400,000
Variable expenses = $280,000
Contribution margin = $120,000
Fixed expenses = $100,000
Net operating income = $20,000
What is total contribution margin if sales volume increases by 20%?
A. $80,000
B. $158,400
C. $200,000
D. $144,000