The single-column CVP income statements shown below are available for Oriole Company and Pharoah Company. Sales Variable costs Contribution margin Fixed costs Net income Oriole Oriole Co. Pharoah $497,000 246,000 251,000 151,000 $100,000 Pharoah Co. $497,000 50,000 447,000 (a1) Compute the degree of operating leverage for each company. (Round answers to 2 decimal places, e.g. 1.15.) Degree of Operating Leverage 347,000 $100,000

The single-column CVP income statements shown below are available for Oriole Company and Pharoah Company. (a1) Compute the degree of operating leverage for each company, (Round answers to 2 decimal places, es 1.15.) (b) Assuming that sales revenue increases by 10% (due to a 10% increase in the number of units sold), prepare a single-column CVP income statement for each company