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The accounting manager of Gateway Inns has noted that every time the inn's average occupancy rate increases by 5 percent, the operating cash flow increases

The accounting manager of Gateway Inns has noted that every time the inn's average occupancy rate increases by 5 percent, the operating cash flow increases by 12.25 percent. What is the degree of operating leverage if the contribution margin per unit is 8 percent?
1.53
2.45
7.25
0.40
7.66

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