Homework Saved Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows: Sales Variable expenses Contribution margin Fixed expenses Net operating income Amount $ 137,000 54,800 82,200 22,000 $ 60,200 Percent of Sales 100% 40% 60% aces 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 13% increase in sales 3. Construct a new contribution format income statement for the company assuming a 13% increase in sales Complete this question by entering your answers in the tabs below. 7 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 3. Construct a new contribution format income statement for the company assuming a 13% increase in sales 2 points Complete this question by entering your answers in the tabs below. Book Hint Required Required 2 Required 3 Pin Construct a new contribution format income statement for the company assuming a 13% increase in sales. References Engberg Company Contribution Income Statement Amount Percent of Sales Sales $ 154 810 100% anable expenses 40% Contribution margin 154 810 60 % od expenses 22,000 Het operating income $ 132,810