Information for two companies follows: Skittles Company $ 7,054,000 5,304,000 4,284,000 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 10% increase in sales? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Starburst Company $ 4,275,000 1,395,000 945,000 Compute the degree of operating leverage (DOL) for each company. Degree of Operating Leverage 1 / Income Skittles's DOL Starburst's DOL Numerator: Contribution margin Denominator: 0 0 1 TA

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 10% increase in sales? Complete this question by entering your answers in the tabs below. Compute the degree of operating leverage (DOL) for each company