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Operating Leverage Beck Inc. and Bryant Inc. have the following operating data: Beck Inc. Sales Bryant Inc. $903,500 542,100 Variable costs Contribution margin Fixed costs

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Operating Leverage Beck Inc. and Bryant Inc. have the following operating data: Beck Inc. Sales Bryant Inc. $903,500 542,100 Variable costs Contribution margin Fixed costs $295,300 118,500 $176,800 124,800 $52,000 $361,400 222,400 $139,000 Income from operations a. Compute the operating leverage for Beck Inc. and Bryant Inc. If required, round to one decimal place. Beck Inc. Bryant Inc. b. How much would income from operations increase for each company if the sales of each increased by 20%? If required, round answers to nearest whole number Dollars Percentage Beck Inc. Bryant Inc. operating C. The difference in the leverage means that its fixed costs are a of income from operations is due to the difference in the operating leverages. Beck Inc.'s percentage of contribution margin than are Bryant Inc.'s

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