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Blossom's Shingle Corporation is considering the purchase of a new automated shingle - cutting machine. The new machine will reduce variable labor costs but will

Blossom's Shingle Corporation is considering the purchase of a new automated shingle-cutting machine. The new machine will reduce variable labor costs but will increase depreciation expense. Contribution margin is expected to increase from $269,750 to $296,725. Net income is expected to be the same at $41,500.
Compute the degree of operating leverage before and after the purchase of the new equipment. (Round answers to 2 decimal places, e.g.1.52.)
Degree of operating leverage (old)
Degree of operating leverage (new)
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