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The following GAAP-based income statement is provided for Vargas, Inc. Sales revenue (1,500 units * $19.00 per unit) Cost of goods sold (variable; 1,500 units

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The following "GAAP-based" income statement is provided for Vargas, Inc. Sales revenue (1,500 units * $19.00 per unit) Cost of goods sold (variable; 1,500 units * $9.00 per unit) Cost of goods sold (fixed) Gross margin Administrative salaries Depreciation Supplies (1,500 units * $1.00 per unit) Net income $ 28,500 (13,500) (3,000) 12,000 (5,000) (4,000) (1,500) $ 1,500 Considering a "Contribution Margin formatted income statement, what is this company's magnitude of operating leverage? (Round your answer to 2 decimal places.)

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