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[The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of
[The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income $ 70,000 38,500 31,500 23,310 $8,190 Required: 15. Assume that the amounts of the company's total variable expenses and total fixed expenses were reversed. In other words, assume that the total variable expenses are $23,310 and the total fixed expenses are $38,500. Using the degree of operating leverage, what is the estimated percent increase in net operating income of a 5% increase in unit sales? Note: Round your intermediate calculations and final answer to 2 decimal places. Increase in net operating income %
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