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What is the company contribution margin ratio

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Reference no: EM133249466

On 2009, the company's sales was p500, 000. Its fixed costs amounts to P100, 000 per year. In 2010, sales was 20% higher, while fit was P30, 000 higher than the 2009 figures. 1 2011, the company expects to have sales that is twice as much as the 2009 sales. The expected increase in production to meet sales demand in 2011 will not require the company to exceed its normal capacity.

What is the company's contribution margin ratio?

How much profit does the company expects to earn in 2011?

Reference no: EM133249466

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