1. Degree of Operating Leverage Instructions: Use the CVP Income Statements below to answer the questions below the income statements. Baylee Company CVP Income Statement Sales 550,000 Less: Variable Costs 155,000 Contribution Margin 395,000 Less: Fixed Costs 345,000 Net Income (Net Loss) 50,000 Madison Company CVP Income Statement Sales 550,000 Less: Variable Costs 370,000 Contribution Margin 180,000 Less: Fixed Costs 130,000 Net Income (Net Loss) 50,000 C. What percent increase in net income will each company have if each experiences a 10% increase in sales (show your work)