An investment banker is analyzing two companies that specialize in the production and sale of gourmet cappuccino and chai mixes. Wildhorse Beans Co.uses a labor-intensive approach and Blossom Industries uses a mechanized system. Variable costing income statements for the two companies are shown below: Sales WildhorseBeans $1,000,000 632,500 367,500 Blossom Industries $1,000,000 282,500 717,500 Variable costs Contribution margin Fixed costs Net income 192,500 542,500 $175,000 $175,000 The investment banker is interested in acquiring one of these companies. However, she is concerned about the impact that each company's cost structure might have on its profitability. (a) Calculate each company's degree of operating leverage. (Round answers to 1 decimal place, eg. 15.5.) Degree of Operating Leverage Wildhorse Beans Blossom Industries Save for Later Attempts: 0 of 1 used Submit