The next question after is "Estimate the new operating income if total sales increase by 10%?"

Imagination Park competes with Splash World by providing a variety of rides. Imagination Park sells tickets at $90 per person as a one-day entrance fee. Variable costs are $18 per person, and fixed costs are $464,400 per month. The breakeven number of tickets is 6,450. If Imagination Park expects to sell 7,700 tickets, compute the degree of operating leverage (round to two decimal places). Estimate the operating income if sales increase by 30%. Begin by selecting the formula labels and then entering the amounts to compute the degree of operating leverage for Imagination Park. (Round the degree of operating leverage to two decimal places, X.XX.) Contribution margin Operating income Degree of operating leverage