Experts on Call provides computer repairs on-site and has a contribution margin ratio of 35%, a contribution margin per service call of $15, and fixed costs of $12,000 per month.During March, it made 1,200 service calls.How much will Experts on Call's profit increase if 200 more service calls are made?

Question

Quizplus · Accepted Answer

The profit increase is calculated by multiplying the contribution margin per service call ($15) by the additional number of service calls (200), resulting in an increase of $3,000.

Experts on Call Provides Computer Repairs On-Site and Has a Contribution