Here are the income statements for Genatron Manufacturing Corporation for 2016 and 2017:

Assuming one-half of the general and administrative expenses are fixed costs, estimate Genatron’s DOL, DFL, and DCL in 2016 and 2017.

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Income Statement 2016 2017 Net sales $1,300,000 $1,500,000 Cost of goods sold 780,000 900,000 $520,000 Gross profit $600,000 General and administrative 150,000 150,000 Marketing expenses 130,000 150,000 Depreciation 40,000 53,000 Interest 45,000 57,000 Earnings before taxes $155,000 $190,000 Income taxes 62,000 76,000 $93,000 Net income $114,000