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2. Change all of the numbers in the data area of your worksheet so that it looks like this: A B 1 Chapter 5: Applying

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2. Change all of the numbers in the data area of your worksheet so that it looks like this: A B 1 Chapter 5: Applying Excel 2 3 Data 4 5 Unit sales Selling price per unit Variable expenses per unit $ 80,000 units 70 per unit 35 per unit 6 $ 7 Us Fixed expenses 2,520,000 If your formulas are correct, you should get the correct answers to the following questions. (a) What is the break-even in dollar sales? Answer is complete and correct. Break-even in dollar sales $ 5,040,000 (b) What is the margin of safety percentage? Answer is complete but not entirely correct. Margin of safety percentage 11 % (c) What is the degree of operating leverage? (Round your answer to 2 decimal places.) Answer is complete but not entirely correct. Degree of operating leverage 280,000.00 3. Using the degree of operating leverage and without changing anything in your worksheet, calculate the percentage change in net operating income if unit sales increase by 20% Answer is complete but not entirely correct. Percentage increase in net operating income 180 Required information 4. Confirm your calculations in Requirement 3 above by increasing the unit sales in your worksheet by 20% so that the Data area looks like this: B Chapter 5: Applying Excel 1 2 3 4 5 6 2 Data Unit sales Selling price per unit Variable expenses per unit Fixed expenses 90,000 units $ 70 per unit $ 35 per unit 5 2.520,000 (a) What is net operating income? (Negative amount should be indicated by a minus sign.) Answer is complete but not entirely correct. Not operating in common $ 1,512.000 (a) What is net operating income? (Negative amount should be indicated by a minus sign.) Answer is complete but not entirely correct. Not operating income (loss) $ 1,512,000 (b) By what percentage did the net operating income increase? Answer is complete but not entirely correct. Percentage increase in net operating income 80

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