Modern Artilacts can produce keepsakes that will be sold for $99 each. Nondepreciation fixed costs are $1,100 per year, and variable costs are $74 per unit. The initial investment of $4,200 will be depreciated straight-line over its useful life of five years to a final value of zero, and the discount rate is 10%.

a. What is the degree of operating leverage of Modern Artifacts when sales are $8,415? (Round your answer to 1 decimal place.)

Degree of operating leverage______ times

b. What is the degree of operating leverage when sales are $14,355? (Round your answer to 1 decimal place.)

Degree of operating leverage _____ times