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Consider the following summary modified income statement for Tech Inc. : Sales $589,000 Variable Operating Costs 217,000 Contribution Margin $372,000 Fixed Operating Costs 149,000 Operating
Consider the following summary modified income statement for Tech Inc.
: Sales $589,000
Variable Operating Costs 217,000
Contribution Margin $372,000
Fixed Operating Costs 149,000
Operating Income $223,000
Interest Expense 21,000
Net Income $202,000
Calculate Tech's degree of operating leverage.
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