4 A contribution income statement for the Nantucket Inn is shown below. (Ignore income taxes.) 10 points Revenue Less: Variable expenses Contribution margin Less: Fixed expenses Net income $2,500,000 1,750,000 $ 750,000 600,000 $ 150,000 eBook Print References Required: 1. Show the hotel's cost structure by indicating the percentage of the hotel's revenue represented by each item on the income statement. 2. Suppose the hotel's revenue declines by 20 percent. Use the contribution-margin percentage to calculate the resulting decre net income. 3. What is the hotel's operating leverage factor when revenue is $2,500,000? 4. Use the operating leverage factor to calculate the increase in net income resulting from a 25 percent increase in sales reveni Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Show the hotel's cost structure by indicating the percentage of the hotel's revenue represented by each item on the income statement. NANTUCKET INN Contribution Income Statement Amount Percent Revenue $ 2,500,000 Variable expenses 1,750,000 Contribution margin $ 750,000 % Fixed expenses 600,000 4 Show the heter cost structure by indicating the percentage of the by each hem on the n 2. Suppose the hotel's revenue decines by 20 percent. Use the co-margin percentage to celculate 16 WO 60 1 2 " 3 14 Mc Book Fo % 4 5 6 Q W E R S A Z 3 D LL F x H option command C L T Next >> & 47 G > Y " 11 8 " C 9 1 H J K B N M education.com/map/index-condem contribution comment for the shown by income Show the noters cost rude by ing the perserage of the has revenue represented by when the me 2. Suppose the hotel's venue decines by 20 percent. Use the contibution margin percentage to cut the resulting de 3. What is the hotel's sperating leverage factor is $2,500,000 Required 2 NO " 3 m Q W E A N S x 14 D ntion * command Mastione Ble 264 " 40 > % A a 5 6 N 7 " 00 B 9 R T Y U I C F G H J K T6 A ' 1 2 NO 3 4 5 6 7 8 9 Q W E R T Y U 1 C A N S x D 3 H option command C LL F G H J - > K B N M