The following is the contribution format income statement for last month:

Sales $ 1,279,400

Less variable expenses 767,700

Contribution margin 511,700

Less fixed expenses 255,880

Net income $255,820

Given the statement above what is the current degree of operating leverage?

Using your operating leverage answer, what would the % increase be on net income from a 40% increase in sales?

Using your operating leverage answer, what would net income be if sales increased by 40%?