Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Sep 17, 2024

If sales are $500,000, variable costs are 75% of sales, and operating income is $40,000, what is the operating leverage? a. 1.25 b. 1.3 c.

If sales are $500,000, variable costs are 75% of sales, and operating income is $40,000, what is the operating leverage?

a. 1.25

b. 1.3

c. 0

d. 3.1

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Understanding Financial Statements A Manager S Guide

Authors: David S. Murphy Ph.D. ,Ernest W. Murphy

1st Edition

1530688787, 978-1530688784

More Books

Students also viewed these Accounting questions

Question

★★★★★

Mohammad Hashmi, a citizen of Pakistan, entered the United States in 2002 on a student visa. Two years later, when he applied for a job at Compute Credit, he completed an I-9 form and checked the box...

Answered: 1 week ago

Question

★★★★★

What are some examples of worship rituals or family rituals that bind Christians or families together, giving a shared church or family memory?

Answered: 1 week ago

Question

★★★★★

=+b. How does the histogram of the t values compare to the z histogram? Be sure to comment on center, shape, and spread.

Answered: 1 week ago

Question

★★★★★

Florence Clark purchased a house for $300,000. She paid cash of 10% of the purchase price and signed a mortgage for the remainder. She will repay the mortgage in monthly payments for 30 years, with...

Answered: 1 week ago

Question

★★★★★

If sales are $500,000, variable costs are 75% of sales, and operating income is $40,000, what is the operating leverage? a. 1.25 b. 1.3 c. 0 d. 3.1

Answered: 1 week ago

Question

★★★★★

* Write a function ` vigenere _ decrypt ` using the following template. The ` method ` keyword argument allows the user to specify whether they wish to use the Kasiski method or the Index of...

Answered: 1 week ago

Question

★★★★★

PR 4-5 Accounting cycle 8. Net income: $68,130 217 OBJ. 4, 5 For the past several years, Samantha Hogan has operated a part-time consulting business from her home. As of July 1, 20Y9, Samantha...

Answered: 1 week ago

Question

★★★★★

An article posted by the Canadian Visa Organization regarding the cost of living in Canada in 2021 stated that Canadians spend most of their salary on paying house rent or housing mortgages....

Answered: 1 week ago

Question

★★★★★

Let's consider a binomial probability distribution. Go to https://stapplet.com/binom.html a.Enter p=.5 and n is equal to 4 then click 'plot distribution'. What is the shape of the distribution (for...

Answered: 1 week ago

Question

★★★★★

The marks on a statistics midterm test are normally distributed with a mean of 75 and a standard deviation of 4. a. What proportion of the class has a midterm test mark that is less than 80? Round...

Answered: 1 week ago

Question

★★★★★

Winkin, Blinkin, and Nod are equal shareholders in SleepEZ, an S corporation. In the conditions listed below, how much income should each report from SleepEZ for 2023 under both the daily allocation...

Answered: 1 week ago

Question

★★★★★

Are use of symbols important in framing leadership as applied to the case study? Why/why not?

Answered: 1 week ago

Question

★★★★★

Why and how can corporate HRM never be context-free? What HRM theories do you know that argue in favour of the embeddedness of corporate HRM?

Answered: 1 week ago

Question

★★★★★

How and to what extent are the policies of Robert Bosch representative of the wider frameworks wherein they emerge?

Answered: 1 week ago

Previous Question Next Question