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The following is last month's Contribution Formatted Income Statement: Sales $800,000 Variable Expenses $500,000 Contribution Margin $300,000 Fixed Expenses $200,000 Net Income $100,000 What is

The following is last month's Contribution Formatted Income Statement:

Sales $800,000

Variable Expenses $500,000

Contribution Margin $300,000

Fixed Expenses $200,000

Net Income $100,000

What is the Company's DEGREE OF OPERATING LEVERAGE AND WHAT WILL HAPPEN TO NET INCOME IF SALES DECREASE BY 15%?

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