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Company A is a manufacturer with current sales of $4,000,000 and a 60% contribution margin. Its fixed costs equal $1,800,000. Company B is a consulting

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Company A is a manufacturer with current sales of $4,000,000 and a 60% contribution margin. Its fixed costs equal $1,800,000. Company B is a consulting firm with current service revenues of $3,900,000 and a 25% contribution margin. Its fixed costs equal $400,000 Compute the degree of operating leverage (DOL) for each company Degree of Operating Leverage Company A Company // 'Identify which company benefits more from a 20% increase in sales

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