WAR Help Exercise 6-15 Operating Leverage (LO6-1, LO6-8) Magic Realm, Inc, has developed a new fantasy board game. The company sold 49 500 gomes lost year of a selting price of $60 per game, Fired expenses associated with the game total $891000 per year, and variable expenses are $40 per gome Production of the game is entrusted to a printing contractor Variable expenses consist mostly of payments to this contractor Required: 1-a Prepare a contribution format income statement for the game last year 1 b Compute the degree of operating leverage 2 Management is confident that the company consell 59,895 games next year fan increase of 10.395 games, or 21%, over last year Given this assumption a. What is the expected percentage increase in net operating income for next year? b. What is the expected amount of net operating income for next year? (Do not prepare an income statement use the degree of operating leverage to compute your answer) Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 2 Prepare a contribution format income statement for the game last year, Magic Realm, the Contribution Income Statement Total Per Unit 05 0 $ L E O 99+ e to search