Formatting OP Chapter 18 (4) Home Insert Page Layout Formulas Data Review View Cut Calibri (Body) - 11 . A- A to Wrap Text General Copy Paste for B IU . . .A 33 3 2 Merge & Center - $ . % ) Conditional A21 x fx A B C D E F G H 1 Terry's Towing Service has a monthly target operating income of $30,000. Variable expenses 3 are 40% of sales, and monthly fixed expenses are $7,500. Requirements 1. Compute the monthly margin of safety in dollars if the shop achieves its income goal. 2. Express Terry's margin of safety as a percentage of target sales. 23. What is Terry's operating leverage factor at the target level of operating income? 4. Assume that the company reaches its target. By what percentage will the company's operating income fall if sales volume declines by 12%? OSNONM Constraints After tax TP BEP, TP & MOS Multi-Product BEP & TP MOS & Operating Leverage Favorite question Cost Ready My Media 32 Panopto Videos MU Connect VS Materials