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Operating Leverage SunRise Inc. and SunSet Inc. have the following operating data: Sales Variable costs Contribution margin Fixed costs Operating income SunRise Inc. $161,700 (64,900)

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Operating Leverage SunRise Inc. and SunSet Inc. have the following operating data: Sales Variable costs Contribution margin Fixed costs Operating income SunRise Inc. $161,700 (64,900) $96,800 (52,800) $44,000 SunSet Inc. $409,500 (245,700) $163,800 (46,800) $117,000 a. Compute the operating leverage for SunRise Inc. and SunSet Inc. Round the answers to one decimal place. SunRise Inc. SunSet Inc. b. How much would operating income increase for each company if the sales of each increased by 20%? Dollars Percentage SunRise Inc. SunSet Inc

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