Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows: Amount $144,000 57,600 Percent of Sales 100% 40% Sales Variable expenses Contribution margin Fixed expenses 86,400 22,000 60% Net operating income $64,400 Required 1. Compute the company's degree of operating leverage. (Round your answer to 2 decimal places.) gree of operating leverage 2. Using the degree of operating leverage, estimate the impact on net operating income of a 15% 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 3, Construct a new contribution format income statement for the company assuming a 15% increase in sales. Engberg Company Contribution Income Statement Total ales riable expenses Contribution margin ixed expenses et operating income