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The following is last month's contribution format income statement: Sales (15,000 Units) Less: Variable Expenses Contribution Margin Less: Fixed Expenses Operating Income $375,000 $225,000 $150,000

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The following is last month's contribution format income statement: Sales (15,000 Units) Less: Variable Expenses Contribution Margin Less: Fixed Expenses Operating Income $375,000 $225,000 $150,000 $100,000 $ 50,000 Using the degree of operating leverage concept. If the company's sales increase next year by 8%, by what percentage can its operating income expect to increase (within the relevant range)

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