Question 7 options:

Entry Rules:

Round your answer to the nearest whole number.

Examples:

If your answer is $24,500.47, enter 24500

If your answer is $24,500.51, enter 24501

If your answer is $24,500.00, enter 24500

Never enter $ or , when inputting numerical answers

QUESTION:

Talo Inc. has, for the last 15 years, been manufacturing shirts. The company has the following information available for the past year:

Total sales	$145,000
Total operating income	$14,000
Degree of operating leverage	5.00

If sales increased by 30%, what is the new operating income?