Engberg Company installs lawn sod in home yards. The companys most recent monthly contribution format income statement follows:

Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format ncome statement follows Amount $143,000 57,200 Percent of Sales 100% 40% Sales Variable expenses 85,800 24,000 60% Contribution margin Fixed expenses Net operating income 61,800 Required 1. Compute the company's degree of operating leverage. (Round your answer to 2 decimal places.) Degree of operating leverage 2. Using the degree of operating leverage, estimate the impact on net operating income of a 12% increase in sales. (Round your intermediate calculations to 2 decimal places. Round your percentage answer to 2 decimal places (i.e .1234 should be entered as 12.34).) Net operating income by