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Bargain Company's contribution margin ratio is 10%. If the degree of operating leverage is 8 at the $150,000 sales level, operating profit at the $150,000

Bargain Company's contribution margin ratio is 10%. If the degree of operating leverage is 8 at the $150,000 sales level, operating profit at the $150,000 sales level must equal:

$1,500.

$2,700.

$960.

$1,875.

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