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HQ Sustainable Maritime Industries, Inc. is an integrated aquatic product company ( producing , processing, and farming ) in the People's Republic of China. Its

HQ Sustainable Maritime Industries, Inc. is an integrated aquatic product company(producing, processing, and farming) in the People's Republic of China. Its principal products include tilapia and white-legged shrimp that are exported to the United States, Canada, Japan, and Europe. Selected financial statement values for HQ are shown in the table below. What is the degree of operating leverage for HQ given the change in revenues from Year 1 to Year2?
Selected Accounting Information HQ Sustainable Maritime Industries Inc.($000s)
Year 1
Year 2
Revenues
$67,723.00
$75,849.76
Cost of Goods Sold
39,526.00
44,269.12
SG&A
13,148.00
15,199.09
Depreciation
2,095.00
2,346.40
EBIT
$12,954.00
14,035.15
The degree of operating leverage for HQ is _____.(Round to two decimal places.)

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