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a) When Quineboag Textile's sales revenue increased from $5.0 million to $5.25 million, net operation income increased from $500,000 to $575,000. What is Quineboag's degree
a) When Quineboag Textile's sales revenue increased from $5.0 million to $5.25 million, net operation income increased from $500,000 to $575,000. What is Quineboag's degree of operating leverage (DOL)?
b).Last year JPs had net income of $200,000 and sales of $1,000,000. At this level of sales JPs degree of operating leverage is 3.5. If next year JPs sales increase to $1,100,000 what will be JPs net income?
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