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What is the degree of operating leverage? Sales = 100,000 units; price = $45; variable cost = $27; fixed costs = $975,000; depreciation = $250,000;
What is the degree of operating leverage? Sales = 100,000 units; price = $45; variable cost = $27; fixed costs = $975,000; depreciation = $250,000; tax rate = 34%.
A)2.55
B)1.63
C)1.37
D)1.22
E)2.22
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