Question: 4. Perform a what if analysis to see how operating results will change if sales increase by 12% during the second year of operating. a)

4. Perform a what if analysis to see how operating results will change if sales increase by 12% during the second year of operating. a) What is the new net operating income? b) What is the new degree of operating leverage? c) If sales increased by 10% in the third year, what percentage growth in profit can the company expect? d) What is the predicted operating profit in year 3?

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