The following CVP income statements are available for Sandhill Corp. and Wildhorse, Inc.

$($a$)$

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Compute the degree of operating leverage for each company. $($Round answers to $1$ decimal place, e$.$g$.15\mathrm{.}5.)$

Degree of

Operating Leverage

Sandhill

Wildhorse

Attempts: $1$ of $1$ used

$($b$)$

Assume that sales revenue decreases by $20\%.$ Prepare a CVP income statement for each company. $($Do not round intermediate

calculations.$)$

Sandhill Corp.

$

$

Wildhorse, Inc.

$

$