The single-column CVP income statements shown below are available for Sandhill Company and Wildhorse Company. Sales Variable costs Contribution margin Fixed costs Net income Sandhill Sandhill Co. Wildhorse $495,000 244,000 251,000 151,000 $100,000 Wildhorse Co. $495,000 Degree of Operating Leverage 55,000 440,000 (a1) Compute the degree of operating leverage for each company. (Round answers to 2 decimal places, e.g. 1.15.) A 340,000 $100,000

The single-column CVP income statements shown below are available for Sandhill Company and Wildhorse Company. (a1) Compute the degree of operating leverage for each company. (Round answers to 2 decimal ploces, 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. The single-column CVP income statements shown below are available for Sandhill Company and Wildhorse Company. (a1) Compute the degree of operating leverage for each company. (Round answers to 2 decimal ploces, 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