Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows: Percent Amount of Sales Sales $ 130,000 100% Variable expenses 52,000 40 Contribution margin 78,000 60% Fixed expenses 20,000 Net operating income $ 58,000 Required: 1. What is the company's degree of operating leverage? 2. Using the degree of operating leverage, estimate the impact on net operating income of a 14% increase in unit sales. 3. Construct a new contribution format income statement for the company assuming a 14% increase in unit sales. Complete this question huont 1. What is the company's degree of operating leverage? 2. Using the degree of operating leverage, estimate the impact on net operating income of a 14% increase in unit sales. 3. Construct a new contribution format income statement for the company assuming a 14% increase in unit sales. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the company's degree of operating leverage? (Round your answer to 2 decimal places.) Degree of operating leverage Complete this question by entering your answers in the tabs below. Required 1 Reduired 2 Required 3 Using the degree of operating leverage, estimate the impact on net operating income of a 14% increase in unit sales. (Round your Intermediate calculations to 2 decimal places. Round your percentage answer to 2 decimal places (1.0.1234 should be entered as 12.34).) Net operating income by % Required 1 Required 2 Required 3 Construct a new contribution format income statement for the company Engberg Company Contribution Income Statement Amount Percent of Sales % % %