1 9-32 Degree of Operating Leverage (DOL) Tasty Kreme and Krispy Kake are are both producers of baked goods, but each has followed a different production strategy. The differences in their strategies resulted in differences in their cost structure, as shown in the following table: Estimated sales in units Unit price Variable cost per unit Total fixed costs TastyKreme 20,000 6.00 3.00 $30,000 Krispy Kake 15,000 8.00 3.00 $45,000 Required 1. Compute the operating income and degree of operating leverage for each company 2. Assuming sales volume for each company will decline by 10% and that their cost structures will not change, compute the percentage and dollar amount of the change in operating income for each company