Techtronics Software, Inc. specializes in customized spreadsheet software. The results of the companys operations during the prior year (20xx) are given in the following table. All units produced during the year were sold. (Ignore income taxes.)

Sales revenue	$	3,400,000
Manufacturing costs:
Fixed		520,000
Variable		1,040,000
Selling costs:
Fixed		54,000
Variable		120,000
Administrative costs:
Fixed		124,000
Variable		34,000

Required:

1. 1-a. Prepare a traditional income statement for the company.
2. 1-b. Prepare a contribution income statement for the company.
3. 2. What is the firms operating leverage for the sales volume generated during the prior year?
4. 3. Suppose sales revenue increases by 25 percent. What will be the percentage increase in net in

Complete this question by entering your answ Req 1A Req 1B Req2 Req3 Prepare a traditional income statement for the com TECHTRONICS SOFTWARE, INC. Income Statement For the Year Ended December 31, 20XX $ Less: operating expenses. S 0 0 Prepare a contribution income statement for the company. TECHTRONICS SOFTWARE, INC. Income Statement For the Year Ended December 31, 20XX Less: Variable expenses: 0 0 $ Less: Fixed expenses 0 0 S What is the firm's operating leverage for the sales volume generated during the prior year? (Round your answer to 2 decimal places.) Operating leverage factor Suppose sales revenue increases by 25 percent. What will be the percentage increase in net income? (Round intermediate calculations and final answer to 2 decimal places.) Percentage increase in net % income