An investment banker is analyzing two companies that specialize in the production and sale of candied yams. Wildhorse Yams uses a labor-intensive approach, and Blossom Yams uses a mechanized system. CVP income statements for the two companies are shown below. Wildhorse Yams Blossom Yams Sales $392,000 $392,000 Variable costs 319,000 157,000 Contribution margin 73,000 235,000 Fixed costs 23,000 185,000 Net income $50,000 $50,000 The investment banker is interested in acquiring one of these companies. However, she is concerned about the impact that each company's cost structure might have on its profitability. S Calculate each company's degree of operating leverage. (Round answers to 2 decimal places, e.g. 1.15.) Degree of Operating Leverage Wildhorse Yams Blossom Yams 1.46 4.70 Determine the effect on each company's net income if sales decrease by 15% and if sales increase by 10%. Assume that sales fluctuations are attributable to changes in units sold. Do not prepare income statements. (Round answers to 2 decimal places, e.g 10.52. If % change is negative, enter amount with either a negative sign or parenthesis, e.g. -10.52 or (10.52).) Sales decrease by 15% Wildhorse Yams % Change in Net Income % Blossom Yams Sales increase by 10% Wildhorse Yams Blossom Yams %