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Engberg Company Installs lawn sod in home yards. The company's most recent monthly contribution format Income statement follows: Percent of sales 1000 Amount $ 121,000

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Engberg Company Installs lawn sod in home yards. The company's most recent monthly contribution format Income statement follows: Percent of sales 1000 Amount $ 121,000 48,400 72,600 18,000 $ 54,600 Sales Variable expenses Contribution margin Fixed expenses Net operating income 400 604 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 15% Increase in sales. 3. Construct a new contribution format income statement for the company assuming a 15% increase in 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.) OTED ($) O O O OPWIXOWOS MacBook Pro 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 15% increase in sales. 3. Construct a new contribution format income statement for the company assuming a 15% increase in 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.) Degree of operating leverage Required 2 > Prev Next POOD 6 D O PWPX000 MacBook Pro 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 15% Increase in sales. 3. Construct a new contribution format income statement for the company assuming a 15% 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 15% increase in sales. (Round you Intermediate calculations to 2 decimal places. Round your percentage answer to 2 decimal places (le 1234 should be entered as 12.34).) Net operating income by LODA E & OD 3 D O TOPS WPXOLO DI MacBook Pro

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