This question is multiple parts and I was able to figure out some of it on my own but can't get all of it sorted out and now am in hopes that someone is willing to help show me how to solve this because I'm not sure what I have so far is even correct because I keep getting stuck.This is everything I can possibly provide for
Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows: Percent of Amount Sales Sales $ 141,000 100% Variable expenses 56,400 40% Contribution margin 84, 600 60% Fixed expenses 18,000 Net operating income $ 66,600 ' 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 ofa 20% increase in sales. 3. Construct a new contribution format income statement for the company assuming a 20% increase in sales. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the company's degree of operating leverage? (Round your answer to 2 decimal places.) Required 2 > Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows: Percent Of Amount Sales Sales 5 141,000 100% Variable expenses 56,400 40% Contribution margin 84 , 600 60% Fixed expenses 18,000 Net operating income S 66, 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 ofa 20% increase in sales. 3. Construct a new contribution format income statement for the company assuming a 20% increase in sales. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Using the degree of operating leverage, estimate the impact on net operating income of a 20% increase in sales. (Do not round intermediate calculations. Round your percentage answer to 2 decimal places (i.e 0.1234 should be entered as 12.34).) _- Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows: Percent Of Amount Sales Sales 5 141,000 100% Variable expenses 56 , 400 40% Contribution margin 84 , 600 60% Fixed expenses 18 , 000 Net operating income $ 66.600 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 20% increase in sales. 3. Construct a new contribution format income statement for the company assuming a 20% 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 20% increase in sales.
