Europa Publications, Inc. specializes in reference books that keep abreast of the rapidly changing political and economic issues in Europe. The results of the company's operations during the prior year are given in the following table. All units produced during the year were sold. (gnore income taxes.) Sales revenue $1,400,000 Manufacturing costs F ixed 417,000 626,000 Variable Selling costs: Pixed 28,000 58,000 Variable Administrative costs: Fixed 68,000 23,000 Variable ces Required: 1-a. Prepare a traditional income statement for the company. 1-b. Prepare a contribution income statement for the company. 2. What is the firm's operating leverage for 3. Suppose sales revenue increases by 14 percent. What will be the percentage increase in net income? 4. Which income statement would an operating manager use to answer requirement (3)? the sales volume generated during the prior year? Complete this question by entering your answers in the tabs below Req 1A Req 18 Req 2 Req 3 Req 4 Prepare a traditional income statement for the company EUROPA PUBLICATIONS, INC Income Statement