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this is all 1 question! olease i need help figureing out how to complete it Exercise 5-9 Compute and Use the Degree of Operating Leverage

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this is all 1 question! olease i need help figureing out how to complete it
Exercise 5-9 Compute and Use the Degree of Operating Leverage (LO5-8] Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows: Sales Variable expenses Contribution margin Fixed expenses Net operating income Amount $ 140,000 56,000 84,000 16,000 $ 68,000 Percent of Sales 1000 408 600 Required: 1. What is the company's degree of operating leverage? 2. Using the degree of operating leverage, estimate the impact on net operating income of a 22% increase in sales. 3. Construct a new contribution format income statement for the company assuming a 22% increase in sales. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 1. What is the company's degree of operating leverage? 2. Using the degree of operating leverage, estimate the impact on net operating income of a 22% increase in sal 3. Construct a new contribution format income statement for the company assuming a 22% increase in sales. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Construct a new contribution format income statement for the company assuming a 22% increase in sales. Engberg Company Contribution Income Statement Amount Percent of Sales % % %

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