Income statement data for a traditional and a digital ordering system
					Traditional Ordering	Digital Ordering
Revenue	$540,000	$540,000
Cost of goods sold	190,000	190,000
Cashier labor	87,000	21,600
Other variable costs	17,000	17,000
Contribution margin	246,000	311,400
Depreciation	43,000	102,000
Other fixed costs	45,000	45,000
Net operating income	$158,000	$164,400

Use Excel:

a.	In the template provided, calculate the comparative income statement amounts for the digital and traditional ordering systems assuming an increase in revenue volume of 25%.
b.	Create a bar chart showing the income statement components for the traditional and digital ordering systems that includes amounts both with and without the 25% revenue increase. Include a descriptive chart title, axes labels, axes formatting, and a legend.
c.	By combining the income statement data with and without the revenue volume changes, it is easier to compare the changes in costs and operating income. Under which model does net operating income appear to increase more when volume increases? What costs changed to create the effect on operating income? Briefly explain why this occurs.
d.	Identify other factors might you need to consider when increasing volume with a digital versus a traditional face-to-face ordering system.

a. Income statements
	Traditional Ordering With No Increase	Traditional Ordering With 25% Increase	Digital Ordering With No Increase	Digital Ordering With 25% Increase
Revenue	$540,000		$540,000
Cost of goods sold	190,000		190,000
Cashier labor	87,000		21,600
Other variable costs	17,000		17,000
Contribution margin	246,000		311,400
Depreciation	43,000		102,000
Other fixed costs	45,000		45,000
Net operating income	$158,000		$164,400