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Operating Leverage Beck Inc. and Bryant Inc. have the following operating data: Beck Inc. Bryant Inc. Sales $192,400 $512,000 Variable costs 77,200 307,200 Contribution margin

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Operating Leverage Beck Inc. and Bryant Inc. have the following operating data: Beck Inc. Bryant Inc. Sales $192,400 $512,000 Variable costs 77,200 307,200 Contribution margin $115,200 $204,800 Fixed costs 67,200 76,800 Income from operations $48,000 $128,000 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 15%? If required, round answers to nearest whole number Dollars Percentage Beck Inc. 6 Bryant Inc. c. The difference in the of Income from operations is due to the differencein the operating leverages eeck tnc. s operating leverage means that its fixed costs ate prceitaga of conbuto margn than are Brvant inc.'s Check My Work

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