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Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows Amount $141,000 56,400 Percent of Sales 100%

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Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows Amount $141,000 56,400 Percent of Sales 100% 4 % Sales Variable expenses Contribution margin Fixed expenses 84,600 21,000 60% Net operating income $ 63,600 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 24% 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

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