The Smith Bakery sells a variety of gourmet breads, cakes, and pastries. Althouth they are more expensive than those available in the supermarkets, they have a loyal customer base that is willing to pay a premium price. On the average, Smith Bakery has a monthly revenue of $250,000 and earns a profit of $20,000. Their contribution margin ratio is 45%. What is the operating leverage for Smith Bakery? Round off your answer to four digits.

A.0.5978

B.0.9200

C.0.3700

D.0.4022

E.0.0800

The finance director of St. James hospital estimates that on average 33% of its revenue equals its variable cost. Fixed costs are budgeted at $24 million per year. If their budget predicts a volume of business of 30,000 patient-days next year, what is the average daily revenue per patient (rounded to two digits) for St. James to breakeven?

A.$800.00

B.$1,194.03

C.$65,753.42

D.$2.424.24

E.$536.00