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Consider the following summary modified income statement for Tech Inc.: Sales $551,000 Variable Operating Costs 289,000 Contribution Margin $262.000 Fixed Operating costs 127,000 Operating Income

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Consider the following summary modified income statement for Tech Inc.: Sales $551,000 Variable Operating Costs 289,000 Contribution Margin $262.000 Fixed Operating costs 127,000 Operating Income $135,000 Interest Expense 46,000 Net Income $89,000 Calculate Tech's degree of operating leverage. A B D E 1 2 Degree of Operating Leverage = 3 4 S 6 7 8 9 10

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