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Consider the following summary modified income statement for Tech Inc.: Sales $533,000 Variable Operating costs 272,000 Contribution Margin $261,000 Fixed Operating Costs 126,000 Operating Income

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Consider the following summary modified income statement for Tech Inc.: Sales $533,000 Variable Operating costs 272,000 Contribution Margin $261,000 Fixed Operating Costs 126,000 Operating Income $135,000 Interest Expense 42,000 Net Income $93,000 Calculate Tech's degree of operating leverage. B D E 1 2 Degree of Operating Leverage 4 5 6 7 8 9 10

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