at P1,200,000 sales? Sentos. Corporation sells its sole product at P80 per unit and reported a P1,600,000 operating income per absorption costing for the year. This income amount was also based on P32/u variable production cost, P16/ fixed production cost, P4/u variable operating expenses and P8/u fixed operating expenses. Although production was as planned, inventory at year-end increased by 1000 units. Rounding off to two decimal places, what is its degree of operating leverage