ABCCompany sells pillows for $90 per unit. The variable expenses are $63 per pillow and the fixed costs are $135,000 per month. The company sells 8,000 pillows per month. The current degree of operating leverage is: (enter your response rounded to two decimals) type your answer... Management expected sales to increase 10% if variable costs decreased $10 per unit and increasing fixed costs by $109,600. Calculate the new degree of operating leverage. (enter your response rounded to two decimals) type your answer... Which produces a better degree of operating leverage? choose your answer...

ABCCompany sells pillows for $90 per unit. The variable expenses are $63 per pillow and the fixed costs are $135,000 per month The company sells 8,000 pillows per month: The current degree of operating leverage is: (enter your resporse rounded to two decimaks) Management expected sales to increase 10 s if variable costs decreased $10 per unit and increasing fixed costs by $109,600, Calculate the new degree ot operating leverage. (enter vour response rounded to two decimals) Which produces a better degree of operating leverage