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A company had predicted sales of $61,000 and EBIT of $48,000 for the year. However, actual sales were only $49,000 and EBIT was only $44,000.

A company had predicted sales of $61,000 and EBIT of $48,000 for the year. However, actual sales were only $49,000 and EBIT was only $44,000.

1 What is the degree of operating leverage?

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