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The following information is for Gable, Incorporated and Harlowe, Incorporated for the recent year. Gable, Incorporated Harlowe, Incorporated Sales $ 1,040,000 $ 1,040,000 Variable costs
The following information is for Gable, Incorporated and Harlowe, Incorporated for the recent year. Gable, Incorporated Harlowe, Incorporated Sales $ 1,040,000 $ 1,040,000 Variable costs 440,000 240,000 Contribution margin 600,000 800,000 Fixed costs 200,000 400,000 Income from operations $ 400,000 $ 400,000 Based on the above data, which company has a higher operating leverage? Multiple Choice Gable, Incorporated Harlowe, Incorporated Operating leverage is the same for both companies Cannot be determined
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