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Brooklyn Enterprises prepared the following contribution format income statement based on a sales volume of 3,000 units (the relevant range of production is 1,000 units

Brooklyn Enterprises prepared the following contribution format income statement based on a sales volume of 3,000 units (the relevant range of production is 1,000 units to 5,000 units): Contribution Margin Income Statement Sales $ 54,000 Variable expenses 30,000 Contribution margin 24,000 Fixed expenses 16,000 Net operating Income $ 8,000 Required: Show all calculations! (Answer each question independently and always refer to the original data unless instructed otherwise. Round all uneven answers to 2 decimal places.) Show all calculations

  1. How many units must be sold to achieve a target profit of $9,000?
  2. What is the margin of safety in dollars?
  3. If fixed costs increase by 12%, what will be the new breakeven point in units?
  4. What is the degree of operating leverage?
  5. Using the degree of operating leverage, what is the estimated percent increase in net operating income of a 20% increase in sales?

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