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The following is Fly By Night Windows Limited's contribution format income statement for last month: Sales 1,200,000 Less: variable expenses 800,000 Contribution Margin 400,000 Less:
| The following is Fly By Night Windows Limited's contribution format income statement for last month: | ||||||||||
| Sales | 1,200,000 | |||||||||
| Less: variable expenses | 800,000 | |||||||||
| Contribution Margin | 400,000 | |||||||||
| Less: Fixed expenses | 300,000 | |||||||||
| Net income | $100,000 | |||||||||
| The company has no beginning or ending inventories and produced and sold 20,000 units during the month. What is the company's degree of operating leverage? | ||||||||||
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Modern Auditing
Authors: Graham Cosserat
1st Edition
0471810584, 9780471810582
