Required information [The following information applies to the questions displayed below.] Shown here are condensed income statements for two different companies (assume no income taxes). Miller Company Sales $1,200,000 Variable expenses (80%) 960, eee Income before interest 240, eee Interest expense (fixed) 62,000 Net income $ 178,000 Weaver Company Sales Variable expenses (60%) Income before interest Interest expense (fixed) Net income $1,200,000 720, 488, eee 3e2,eee $ 178, eee Required: 1. Compute times Interest earned for Miller Company and for Weaver Company re Ten Casual Slim F... W Financial Analyst Ce... Standard Normal D mework Saved Help Income before interest Interest expense (fixed) Net income 480,000 302,000 178,000 16 2. What happens to each company's net income if sales increase by 30% (Round your answers to nearest whole pere Net income Company Miller Co. Weaver Co. % % ok ences Variable expenses (60%) Income before interest Interest expense (fixed) Net income 72 , 480,000 302, 080 $ 178,000 6 3. What happens to each company's net income if sales increase by 40%? (Round your answers to Net income Company Miller Co. Weaver Co. ok % % D nces Weaver Company Sales Variable expenses (60%) Income before interest Interest expense (fixed) Net income $1,2 , 720, eee 480,000 32 , 178,000 4. What happens to each company's net income if sales decrease by 20%? (Round your answers to near Net income Company Miller Co. Weaver Co. % % Weaver Company Sales Variable expenses (60%) Income before interest Interest expense (fixed) Net income $1,200,000 72 , 48 , 302, 000 $ 178,000 5. What happens to each company's net income if sales decrease by 40%? (Round your answers to Net income Company Miller Co. Weaver Co. % %