A stock is expected to pay a dividend (D1) of $1.10 at the end of the year. The required rate of return is rs = 8.0%, and the expected constant growth rate is g = 5.40%. What is the stock's current price? $27.39 $42.31 $38.29 $48.75 $41.22

Engberg company installs lawn sod in home yards. the company’s most recent monthly contribution format income statement follows: amount percent of sales sales $ 80,000 100% variable expenses 32,000 40% contribution margin 48,000 60% fixed expenses 38,000 net operating income $ 10,000 required: 1. compute the company’s degree of operating leverage. (round your answer to 1 decimal place.) 2. using the degree of operating leverage, estimate the impact on net operating income of a 5% increase in sales. (do not round intermediate calculations.) 3. construct a new contribution format income statement for the company assuming a 5% increase in sales.