corrections for 4b only..I need the percentage change for benson

4 Arnold Vimka is a venture capitalist facing two alternative investment opportunities. He intends to invest $1 milion in a start-up firm. He is nervous, however, about future economic volatility. He asks you to analyze the following financial data for the past year's operations of the two firms he is considering and give him some business advice. Company Name Larson Benson 88/3 ints awardedSales revenue (8,400 units x $30.80) Variable cost per unit (a) s 28.00 10.80 252,880 252,800 Variable cost (8,480 units x a) 168,0)(84,90) S 84,08e 168,800 Contribution margin Fixed cost (24,100) (108,100) 59,90e $ 59,900 3 Net income Required a. Use the contribution margin approach to compute the operating leverage for each firm. b. If the economy expands in coming years, Larson and Benson will both enjoy a 11 percent per year increase in sales, assuming that the selling price remains unchanged. Compute the change in net income for each firm in dollar amount and in percentage. (Note Since the number of units increases, both revenue and variable cost will increase.) c. If the economy contracts in coming years, Larson and Benson will both suffer a 11 percent decrease in sales volume, assuming that the selling price remains unchanged. Compute the change in net income for each firm in dollar amount and in percentage. (Note Since the number of units increases, both revenue and variable cost will increase.) Complete this question by entering your answers in the tabs below. 738 AM Required A Required B Required C Use the contribution margin approach to compute the operating leverage for each firm. (Round your answers to 2 decimal places.) Company Name Larson Benson Operating 1.402.80 leverage Required B> 2.88/3 points awarded Required ARequired B Required C Scored If the economy expands in coming years, Larson and Benson will both enjoy a 11 percent per year increase in sales, assuming that the selling price remains unchanged. Compute the change in net income for each firm in dollar amount and in percentage. (Note: Since the number of units increases, both revenue and variable cost will increase.) (Negative values should be indicated with a minus sign. Round "Percentage change" to 2 decimal places.) Show lessA Company Name Benson Larson 20.00 279,720 (186,480) 93,240 (24,100) 69,140 Variable cost per unit Sales revenue Variable cost $ 10,00 279,720 (93,240) 186,480 108,100 78,380 2.0 Contribution margin Fixed cost Net income Percentage change 15.43 | % % If the economy contracts in coming years, Larson and Benson will both suff assuming that the selling price remains unchanged. Compute the change in net in percentage. (Note: Since t er a 11 percent decrease in sales volume, come for each firm in dollar amount and in ber of units decreases, both total revenue and total variable cost will decrease.) (Negative he num es should be indicated with a minus sign. Round "Percentage change" to 2 decimal places.) Show lessA Company Name Benson Larsorn 20.00 224,280 (149,520) 74,760 (24,100) Variable cost per $ 10.00 unit Sales revenue Variable cost Contribution margin Fixed cost Net income 224.280 e (74,760) 149,520 108,100 $ 50,660S 41,420 | (15.430 % | (30.85) Percentage change K Required B Re