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Texpedia provides travel services on the Internet. In the first quarter of 2015, Texpedia reported an operating income of $4 million on sales revenue of
Texpedia provides travel services on the Internet. In the first quarter of 2015, Texpedia reported an operating income of $4 million on sales revenue of $60 million. In the second quarter of 2015, sales revenue had increased to $80 million, and Texpedia had an operating income of $20 million. Assume that total fixed costs and the contribution margin % were the same during both quarters of the year.
Texpedias contribution margin % is
Texpedias Break-even revenue is
Texpedias operating leverage for the second quarter is
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