Compute the company's degree of operating leverage at the present level of sales.

sales increase by 8% next year. By what percentage would you expect net operating income to increase?Use the degree of operating leverage

The higher-quality speaker would increase variable costs by $3 per unit, but management could eliminate one quality inspector who is paid a salary of $30,000 per year. The sales manager estimates that the higher-quality speaker would increase annual sales by at least 20%.Compute the company's new net operating income.

Cost Volume Prot Analis Daniels Company manufactures and sells a specialized cordless telephone for high electromagnetic radiation environments. The company's contribution format income statement for the most recent year is given below: _ Sales (20,000 units) $1 ,200,000_ L._900 000 Contbutiton margin $300,000 .55 L40 000 _ Net operating income $60,000 _