Question 3 (5 points) Joe Corporation sold 20,000 units last month. Here is their income statement for that period: Required: Total Sales $1,000,000 Less: Variable expenses 580,000 Contribution margin $420,000 Less: Fixed expenses Operating income 300,000 $ 120,000 1. Calculate the company's degree of operating leverage. (2 marks) 2. Using the degree of operating leverage calculated in part 1., calculate the percentage increase in operating income if the sales increase to $22,000 units. (3 marks) Paragraph v BI v +v ***