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Following is the income stafernent for Morning Mufflers for the month of June 2024: (Click the icon to view the contribution margin income statement.) Read
Following is the income stafernent for Morning Mufflers for the month of June 2024: (Click the icon to view the contribution margin income statement.) Read the requirements. Requirement 1. Calculate the degree of operating leverage. (Round to four decimal places.) Select the labels and enter the amounts to calculate the degree of operating leverage for Morning Mulliers. Requirement 2. Use the degree of operating leverage calculated in Requiromont 1 to estimate the change in operating income if total sales increase by 30% (assuming no change in sales price per unit). (Round interim calculations to four docimal places and final answer to the nearest doliar.) The estirnated change in operating income will be Requirement 3. Verity your answer in Requirement 2 by preparing a contribution margin income gfatement with the total sales increase of 30%
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