Trident Food Corporation generated the following income statement for the most recent fiscal year:

Sales revenues$150,000

Variable cost of sales(120,000)

Gross profit30,000

Fixed operating costs(10,000)

Net operating income (EBIT)$20,000

What is the degree of operating leverage (DOL) for Trident Food?

Select one:

a.7.5

b.1.5

c.5.0

d.1.4

e.2.5

7