Check my work mode: This shows what is correct or Incorrect for the work you have completed so far. It does not indicate completion Return 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 $80,000 32,000 48,000 38,000 $10,000 Percent of Sales 100% 40% 60% 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 5% increase in sales. 3. Construct a new contribution format income statement for the company assuming a 5% increase in sales. * Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Perna? 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 5% increase in sales. Engberg Company Contribution Income Statement Amount Percent of Sales Sales $ 80,000 100 % Variable expenses 32,000 40 % Contribution margin 48,000 60 Fixed expenses 38,000 Net operating income 10,000