Question 3 of 4 View Policies Show Attempt History < > Current Attempt in Progress Your answer is partially correct. The CVP income statements shown below are available for Armstrong Company and Contador Company. Armstrong Co. Contador Co. Sales $496,000 $496,000 Variable costs 239,000 47,000 Contribution margin 257,000 449,000 Fixed costs 157,000 349,000 Net income $100,000 $100,000 1.41/4 (a1) Compute the degree of operating leverage for each company. (Round answers to 2 decimal places, e.g. 1.15.) Armstrong Contador Degree of Operating Leverage (b) Assuming that sales revenue increases by 10%, prepare a variable costing income statement for each company. Armstrong Company Contador Company Sales Revenue $ 545600 $ Variable Costs Contribution Margin Fixed Costs Net Income/(Loss) Save for Later III Attempts: 1 of 7 used Submit Answer