Below is a contribution income statement for Fairfax Company. Parcent of Sales 40% 60% Amount Sales Variable expenses Contribution margin Fixed expenses Net operating income 44,000 86,400 20,000- S 66,400 Required 1. Compute the company's degree of operating leverage. (Round your answer to 2 decimal places) declmal places (Le .1234 should be decimal p entered as 12.34),) income ora 26% increase in sales. (Round your intermediate calculations to 2 decimal places. Round your percentage answer to 2 a 2. Using the degree of operating leverage, estimate the impact on net operating 3. Construct a new contribution format income statement for the company assuming a 26% increase in sales