Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows: Sales Variable expenses Contribution margin Fixed expenses Percent of Amount $125,000 Sales 1008 50,000 40 75,000 60% 17,000 $ 58,000 Set operating income 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 12% increase in unit sales. 3. Construct a new contribution format income statement for the company assuming a 12% 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.) Degme of operating leverage Required 1 Required 2 > Engberg Company Installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows: Sales Variable expenses Contribution margin Fixed expenses Net operating income Required: Amount $ 125,000 50,000 Percent of Sales 100% 40 75,000 608 17,000 $58,000 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 12% increase in unit sales. 3. Construct a new contribution format income statement for the company assuming a 12% increase in unit sales. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Using the degree of operating leverage, estimate the impact on net operating income of a 12% increase in unit sales. (Round your intermediate calculations to 2 decimal places. Round your percentage answer to 2 decimal places (1.e.1234 should be entered as 12.34).)) Net operating income by % Sales Variable expenses Contribution margin Fixed expenses Net operating income Required: $ 125,000 50,000 100% 40 75,000 17,000 60% $ 58,000 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 12% increase in unit sales. 3. Construct a new contribution format income statement for the company assuming a 12% increase in unit sales. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Construct a new contribution format income statement for the company assuming a 12% increase in unit sales. Engberg Company Contribution Income Statement Amount Percent of Sales % % % Required 2 Required 3>