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cougar industries inc. reported the following income statement for the following year: sales $50,000 less bariable expense 20000 contribution margin $30,000 less fixed expense 15,000
cougar industries inc. reported the following income statement for the following year:
sales $50,000
less bariable expense 20000
contribution margin $30,000
less fixed expense 15,000
operating income $15,000
a) calculate the degree of operating leverage (round one decimal place)
b) if sales increase by 15% what will the percentage change in operating income be? (round to two decimal place)
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