heducation.com.252Fadilyques Required information [The following information applies to the questions displayed below) Data for Hermann Corporation are shown below. Selling price Variable expenses Contribution margin Per Unit $ 90 63 $ 27 Percent of Sales 100% 70 30% Fixed expenses are $30,000 per month and the company is selling 2000 units per month 2-a. Refer to the original data How much will net operating income increase idecreasej per month the company uses higher quality components that increase the variable expense by $2 per unit and increase unit sales by 10% 2.6. Should the higher-quality components be used? Complete this question by entering your answers in the tabs below Reg 24 Reg 28 Refer to the original data. How much wil net operating Income increase (decrease) per month if the company uses higher quality components that increase the variable expense by $2 per unit and increase it sales by 10% Netting inte Nord ternal_browser=08daunchurahttp%253A%252F%252Fnewconnecticution.com 52-group 2 Otto Seved Engberg Company installs lawn sod in home yards The company's most recent monthly contribution format income statement follows Percent of Sales 100% Sales Variable expenses Contribution margin Fixed expenses Net operating income Amount $ 80,000 32,000 48,000 38,000 $10,000 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 5% increase in sales 3. Construct a new contribution format income statement for the company assuming a 5% inctease 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 decimal place) Degree of operating Image Required 2 >