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Degree of operating leverage is calculated as . . Variable costs/Sales . . . Total sales/Common fixed costs . . . Fixed costs/Variable costs .
- Degree of operating leverage is calculated as
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. Variable costs/Sales
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. Total sales/Common fixed costs
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. Fixed costs/Variable costs
.
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. Contribution margin/Operating income
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. Operating income/Contribution margin
.
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Horngrens Financial & Managerial Accounting, The Financial Chapters
Authors: Tracie Miller Nobles, Brenda Mattison
7th Edition
0136505279, 9780136505273
