Templeton Windows is a small company that installs windows. Its cost structure is as follows: (Click the icon to view the cost structure.) Templeton is considering changing its sales compensation for next year. Templeton would pay salespeople a 2% commission next year and reduce fixed selling costs by $67,500. Calculate the degree of operating leverage at sales of 4,650 units under the two options. Comment briefly on the result. Begin by selecting the labels for the degree of operating leverage formula. Degree of operating leverage Next, complete the following table in order to calculate the degree of operating leverage. (Round the degree of operating leverage to two decimal places.) Option 2 Option 1 No Commission 2% Commission Selling price Variable cost Contribution margin per unit Contribution margin Fixed costs Operating income Degree of operating leverage Comment briefly on the result. (Enter the amounts to two decimal places.) These results indicate that, when sales are 2,500 units, a 1% change in sales and contribution margin will result in a % change in operating income for Option 1. For Option 2, a 1% change in sales and contribution margin will result in a % change in operating income. Templeton Windows is a small company that installs windows. Its cost structure is as follows: (Click the icon to view the cost structure.) Templeton is considering changing its sales compensation for next year. Templeton would pay salespeople a 2% commission next year and reduce fixed selling costs by $67,500. Calculate the degree of operating leverage at sales of 4,650 units under the two options. Comment briefly on the result. Begin by selecting the labels for the degree of operating leverage formula. Degree of operating leverage Next, complete the following table in order to calculate the degree of operating leverage. (Round the degree of operating leverage to two decimal places.) Option 2 Option 1 No Commission 2% Commission Selling price Variable cost Contribution margin per unit Contribution margin Fixed costs Operating income Degree of operating leverage Comment briefly on the result. (Enter the amounts to two decimal places.) These results indicate that, when sales are 2,500 units, a 1% change in sales and contribution margin will result in a % change in operating income for Option 1. For Option 2, a 1% change in sales and contribution margin will result in a % change in operating income