Answer:
2.5 and 25%
Step-by-step explanation:
Given that,
Total contribution margin = $61,250
Net income = $24,500
Expected increase in sales volume = 10%
Degree of operating leverage:
= Total contribution margin ÷ Net income
= $61,250 ÷ $24,500
= 2.5
Percent change in income for Macom Manufacturing:
= Percentage change in sales × Degree of operating leverage
= 10% × 2.5
= 25%