A company that makes organic fertilizer has supplied the following data: Bags produced and sold 240,000 Sales revenue $1,896,000 Variable manufacturing expense $804,000 Fixed manufacturing expense $520,000 Variable selling and administrative expense $180,000 Fixed selling and administrative expense $270,000 Net operating income $122,000 The company's degree of operating leverage is closest to: 15.54 7.48 1.25 1.97