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Information for two companies follows: Sales Contribution margin Fixed costs Skittles Company $ 6,151,450 4,951,450 3,897,950 Starburst Company $ 3,739,000 1,414,000 909,000 (1) Compute the
Information for two companies follows: Sales Contribution margin Fixed costs Skittles Company $ 6,151,450 4,951,450 3,897,950 Starburst Company $ 3,739,000 1,414,000 909,000 (1) Compute the degree of operating leverage (DOL) for each company. (2) Which company is expected to produce a greater percent increase in income from a 30% increase in sales? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the degree of operating leverage (DOL) for each company. Degree of Operating Leverage 1 Denominator: Numerator: Ratio 1 Degree of Operating Leverage Skittles's DOL Starburst's DOL
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