Question
The following is last month's contribution format income statement: Sales (15,000 Units) $375,000 Less: Variable Expenses $225,000 Contribution Margin $150,000 Less: Fixed Expenses $100,000 Operating
The following is last month's contribution format income statement:
Sales (15,000 Units) $375,000 Less: Variable Expenses $225,000 Contribution Margin $150,000 Less: Fixed Expenses $100,000 Operating Income $ 50,000 What is the company's degree of operating leverage?
Question 1 options:
1.5 times
3 times
7.5 times
4.5 times
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Financial and Managerial Accounting
Authors: John J Wild, Ken W. Shaw
8th edition
1260247856, 978-1260247855
