Question 24 NO answered Lo-Calorie Doughnuts operates a chain of coffee shops in southern Alberta. Its budgeted sales for the next year are $10,000,000 and its fixed and variable costs were $1,650,000 and $8,200,000 respectively, Management of the company wants to see what some changes in activity and costs could have on its operating income. In each of the following scenarios, calculate the effect on budgeted operating income: Marked out of a) a 10% reduction in variable costs 800 Flag question 806 b) a 10% increase in fixed costs c) a 5% increase in sales d) a 5% increase in fixed costs and a 5% increase in sales e) a 5% increase in fixed costs and a 5% decrease in variable costs