P6-5A The following CVP income statements are available for Blanc Company and Noir Company. Blanc Company Noir Company Sales $500,000 $500,000 Variable costs 280,000 Contribution margin 220,000 320,000 Fixed costs a b 170,000 250 270,000aliano ) Om Net income a bris $ 50,000 Dolar $ 50,000 180,000 Instructions (a) Compute the break-even point in dollars and the margin of safety ratio (round to 3 places) for each company. (b) Compute the degree of operating leverage for each company and interpret your results. (c) Assuming that sales revenue increases by 20%, prepare a CVP income statement for each company. (d) Assuming that sales revenue decreases by 20%, prepare a CVP income statement for each company. (e) Discuss how the cost structure of these two companies affects their operating leverage and profitability