Engberg Company Installs lawn sod in home yards. The company's most recent monthly contribution format Income statement follows: Sale Variable expenses Contribution margin Fixed expenses Mat operating income Amount $150,000 60,000 90,000 22.000 $ 60,000 Percent of Salon 1000 400 500 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 21% increase in sales, 3. Construct a new contribution format income statement for the company assuming a 21% increase in sales, Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required what is the company's degree of operating leverage? (Round your answer to 2 decimal places.) Degree of operating leverage Required 2 > 608 Contribution margin Fixed expenses Net operating income 90,000 22,000 $ 68,000 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 21% increase in sales. 3. Construct a new contribution format income statement for the company assuming a 21% increase in 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 21% increase in sales. (Do not round intermediate calculations. Round your percentage answer to 2 decimal places (1e 0.1234 should be entered as 12.34): Net operating income by % Requirea: 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 21% increase in sales 3. Construct a new contribution format income statement for the company assuming a 21% increase in 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 21% increase in sales. Engberg Company Contribution Income Statement Amount Percent of Sales % % % Administrative expenses Advertising Beginning merchandise inventory Commissions