Information for two companies follows: Sales Contribution margin Fixed costs (1) Compute the degree of operating leverage (DOL) for each company. (2) Which company is expected to produce a greater percent increase in income from a 20% increase in sales? Required 1 Required 2 Skittles Company $ 5,143,750 3,543,750 2,756,250 Complete this question by entering your answers in the tabs below. Skittles's DOL Starburst Company $ 4,477,500 1,552,500 977,500 Compute the degree of operating leverage (DOL) for each company. Degree of Operating Leverage 1 1 Starburst's DOL Numerator: Denominator: = Ratio Degree of Operating Leverage 0 0

Information for two companies follows: (1) Compute the degree of operating leverage (DOL) for each company. (2) Which company is expected to produce a greater percent increase in income from a 20% increase in sales? Complete this question by entering your answers in the tabs below. Compute the degree of operating leverage (DOL) for each company