Kelchner Corporation has provided the following contribution format income statement. Assume that the following information is within the relevant range.


Sales (3,000 units) $ 180,000
Variable expenses 108,000
Contribution margin 72,000
Fixed expenses 62,400
Net operating income $ 9,600

The contribution margin ratio is closest to:
Multiple Choice
A) 67%
B) 40%
C) 33%
D) 60%