Hudson Co. reports the contribution margin income statement for 2017 WDSON CO. Contribution Margin Ton Statement Por Year Ended December 31, 2017 Sales (11,000 units at $175 each) Variable coat (11,000 wita at $140 sach) Contribution megin Tixed costa Pretax income $1,925,000 1,540,000 $385,000 315,000 $ 70,000 1. Compute the company's degree of operating leverage for 2017 2. If sales decrease by 4% in 2018, what will be the company's pretax income? 3. Assume sales for 2018 decrease by 4%. Prepare a contribution margin income statement for 2018. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the company's degree of operating leverage for 2017. (Round your answer to 1 decimal place. Degree of operating leverage Required)