Beck Inc. and Bryant Inc. have the following operating data:   Beck Inc. Bryant Inc. Sales $326,000   $978,000   Variable costs 130,800   586,800 Contribution margin $195,200   $391,200   Fixed costs 134,200   228,200 Income from operations $61,000   $163,000   a.  Compute the operating leverage for Beck Inc. and Bryant Inc. If required, round to one decimal place. Beck Inc. fill in the blank 1 Bryant Inc. fill in the blank 2 b.  How much would income from operations increase for each company if the sales of each increased by 15%? If required, round answers to nearest whole number.   Dollars Percentage Beck Inc. $fill in the blank 3 fill in the blank 4 % Bryant Inc. $fill in the blank 5 fill in the blank 6 % c.  The difference in the   of income from operations is due to the difference in the operating leverages. Beck Inc.'s   operating leverage means that its fixed costs are a   percentage of contribution margin than are Bryant Inc.'s.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Beck Inc. and Bryant Inc. have the following operating data:

  Beck Inc. Bryant Inc.
Sales $326,000   $978,000  
Variable costs 130,800   586,800
Contribution margin $195,200   $391,200  
Fixed costs 134,200   228,200
Income from operations $61,000   $163,000  

a.  Compute the operating leverage for Beck Inc. and Bryant Inc. If required, round to one decimal place.

Beck Inc. fill in the blank 1
Bryant Inc. fill in the blank 2

b.  How much would income from operations increase for each company if the sales of each increased by 15%? If required, round answers to nearest whole number.

  Dollars Percentage
Beck Inc. $fill in the blank 3 fill in the blank 4 %
Bryant Inc. $fill in the blank 5 fill in the blank 6 %

c.  The difference in the   of income from operations is due to the difference in the operating leverages. Beck Inc.'s   operating leverage means that its fixed costs are a   percentage of contribution margin than are Bryant Inc.'s.

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