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Company A has current sales of $10,168,278 and a 36% contribution margin. Its fixed costs...

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Accounting

Company A has current sales of $10,168,278 and a 36% contribution margin. Its fixed costs are $2,624,718. Company B is a service firm with current service revenue of $5,580,232 and a 26% contribution margin. Company B's fixed costs are $597,074. Using the degree of operating leverage for Company A, what will be the increase to net income if there was a 22% increase in sales? Round to the hundredth, two decimals.
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