A manufacturer of premium wire strippers has supplied the following data: Units produced and sold... Sales revenue Variable manufacturing expense. Fixed manufacturing expense. Variable selling and administrative expense.. Fixed selling and administrative expense. Net operating income. 340,000 $2,448,000 $1,258,000 $716,000 $306,000 $124,000 $44,000 The company's degree of operating leverage is closest to: 1.86 20.09 7.73 55.64