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[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

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[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 Variable expenses (sex) Income before interest Interest expense (fixed) Net income $1,000,000 800,000 200, eee 60,000 $ 140, eee Weaver Company Sales Variable expenses (60%) Income before interest Interest expense (fixed) Net income $1,688,888 600,000 400,000 260, eee $ 140,000 3. What happens to each company's net income if sales increase by 50%? (Round your answers to nearest whole percent.) Net Income Company Miller Co. Weaver Co. % 4. What happens to each company's net income if sales decrease by 10%? Net Income Company Miller Co. % Weaver Co. % 5. What happens to each company's net income if sales decrease by 40%? (Round your a Net Income Company Miller Co. Weaver Co. % %

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