The CVP income statements shown below are available for Armstrong Company and Contador Company. Armstrong Co. Contador Co. Sales Variable costs Contribution margin Fixed costs Net income $505,000 247,000 258,000 163,000 $95,000 $505,000 49,000 456,000 361,000 $95,000 (a) Compute the degree of operating leverage for each company. (Round answers to 3 decimal places, e.g. 1.150.) Degree of Operating Leverage Armstrong 2.7 Contador 4.8 (b) Assuming that sales revenue increases by 10%, prepare a variable costing income statement for each company. Armstrong Company Contador Company Sales Revenue Variable Costs Contribution Margin Fixed Costs Net Income/(Loss) Click if you would like to Show Work for this question: Open Show Work