The following information was drawn from the records of Calico Company Income Statement Sales Revenue (280 @ $630 per unit) $ 176,400 Cost of Goods Sold: Variable (280 @ $330 per unit) (92,400) Fixed (9,500) Gross Margin 74,500 Sales Commissions (280 @ $50) (14,000) Depreciation (1,300) Net Income $ 59,200 Based on this information the magnitude of operating leverage is approximately: Note: Round you answer to 2 decimal places.

Multiple Choice

1.18.

1.12.

1.25.

0.90.