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Question#01: 02 1. The following worksheet contains cost and revenue data for koyel Shoe Company: Total 15,000 Per pair of Pairs of Shoes Shoes Sales Revenue Tk. 450,000 Tk. 30 Variable expenses: Invoice cost 202,500 Tk. 13.5 Sales commission 67,500 4.5 Total variable expenses Tk. 270,000 Tk.18 Contribution margin Tk. 180,000 Tk. 12 Fixed expenses: Advertising Tk. 30,000 Rent 20,000 Salaries 100.000 Total fixed expenses Tk. 150,000 Net Income Tk. 30,000 Required: (a) Compute the company's degree of operating leverage at the present level of sales. (b) Assume that through a more intense effort by the sales staff, the company's sales increase by 8% next year. By what percentage would you expect net operating income to increase? Use the degree of operating leverage to obtain your answer. (c) Verify your answer to ( b ) by preparing a new contribution format income statement showing an 8% increase in sales