Exercise 19-14 a1, b (Video) The CVP income statements shown below are available for Bramble Company and Vaughn Company. Bramble Co. Vaughn Co. Sales Variable costs Contribution margin Fixed costs $505,000 249,000 256,000 156,000 $100,000 $505,000 51,000 454,000 354,000 $100,000 Net income (a1) Compute the degree of operating leverage for each company. (Round answers to 2 decimal places, e.g. 1.15.) Degree of Operating Leverage Bramble Vaughn (b) Assuming that sales revenue increases by 10%, prepare a variable costing income statement for each company. Bramble Company Vaughn Company $ $