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(b) What is the margin of safety percentage? Margin of safety percentage 3. Using the degree of operating leverage and without changing anything in your
(b) What is the margin of safety percentage? Margin of safety percentage 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%. Percentage increase in net operating income 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: 1 Chapter 5: Applying Excel 3 4 5 6 7 Data Unit sales Selling price per unit Variable expenses per unit Fixed expenses 60,000 units $ 10 per unit 5 per unit $ 200,000 (a) What is net operating income? (Negative amount should be indicated by a minus sign.) Net operating income (loss) | b. What is the margin of safety in dollars? Margin of safety in dollars C. What is the degree of operating leverage? (Round your answer to 2 decimal places.) Degree of operating leverage
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