Consider a company where the majority of its expenses are

fixed costs, similar to Jenny's personal finance situation

with her mortgage and necessities. If this company

experiences a $10\%$ increase in sales, what is likely to

happen to its operating income, assuming all else remains

constant?

Olt will remain about the same.

Olt will increase by more than $10\%.$

Olt will increase by less than $10\%.$