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An investment banker is analyzing two companies that specialize in the production and sale of candied yams. Crane Yams uses a laborintensive approach, and Cullumber

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An investment banker is analyzing two companies that specialize in the production and sale of candied yams. Crane Yams uses a laborintensive approach, and Cullumber Yams uses a mechanized system. CVP income statements for the two companies are shown below. 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. Caiculate each company's depree of operating leverage. (Round answers to 2 decimol ploces, e.5, 1.15 ) Calculate each compary's degree of operating leverage. (Round answers to 2 decimol places, . 8. 1.15.] ctrextbook and Media Determine the effect on each company's net income In sales decrease by 15$5 and if sales increase by 105 . Aspume that sales. fiuctuations are atritbutable tocharyes in unisssold, Donot prepare inccene staqements. (Round ansiwers to 2 decimal places. es. 10.52. If % change is negative, enter amount with either a negotive sign ar parenthesis, e.s. 10.52 or (10.521] Determine the effect on each compary's net income it sales decrease by 153 and if salesincreare by toxs Assume that alth fuictuations are attributable to changes in units sold. Do not prepare income statements. (Round answer to.2 decianal places. e.8. 10.52. If % change is negative, enter amount with either a ncgative sign or parenthesis eg. 10.52 or (10.52)

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