Following is the income statement for Morning Mufflers for the month of June 2018: B (Click the icon to view the contribution margin income statement.) i Data Table und 1 Requirements of op d in Iculati Morning Mufflers Contribution Margin Income Statement Month Ended June 30, 2018 Net Sales Revenue (200 units x $200) $ 40,000 Variable Costs (200 units x $50) 10,000 Contribution Margin 30,000 Fixed Costs 11,000 $ 19,000 Operating Income 1. Calculate the degree of operating leverage. (Round to four decimal places.) 2. Use the degree of operating leverage calculated in Requirement 1 to estimate the change in operating income if total sales increase by 10% (assuming no change in sales price per unit). (Round interim calculations to four decimal places and final answer to the nearest dollar.) 3. Verify your answer in Requirement 2 by preparing a contribution margin income statement with the total sales increase of 10%. ling a Print Done Print Done Variable Costs 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 Mufflers. = Degree of operating leverage Breakeven sales in dollars of operating leverage calculated in Requirement 1 to estimate the change in operating income if total sales increase by 10% ice per unit). (Round interim calculations to four decimal places and final answer to the nearest dollar.) ng income will be $ Breakeven sales in units Contribution margin Expected sales in dollars Expected sales in units Fixed costs Operating income Sales revenue Variable costs ver in Requirement 2 by preparing a contribution margin income statement with the total sales increase of 10%. e Statement 1, 2018 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 Mufflers. | = Degree of operating leverage Requirement 2. Use the degree of operating leverage calculated in Requirement 1 to estimate the change in operating income if total sales increase by 10% (assuming no change in sales price per unit). (Round interim calculations to four decimal places and final answer to the nearest dollar.) The estimated change in operating income will be $ L Requirement 3. Verify your answer in Requirement 2 by preparing a contribution margin income statement with the total sales increase of 10%. Morning Mufflers Contribution Margin Income Statement Month Ended June 30, 2018 Net Sales Revenue Variable Costs Contribution Margin Choose from any list or enter any number in the input fields and then continue to the next question. Requirement 3. Verify your answer in Requirement 2 by preparing a contribution margin income statement with the total sales increase of 10%. Morning Mufflers Contribution Margin Income Statement Month Ended June 30, 2018 Net Sales Revenue Variable Costs Contribution Margin Fixed Costs Operating Income