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Whispering Winds Manufacturing is considering buying new equipment for its factory. The new equipment will reduce variable labor costs but increase depreciation expense Contribution margin

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Whispering Winds Manufacturing is considering buying new equipment for its factory. The new equipment will reduce variable labor costs but increase depreciation expense Contribution margin is expected to increase from $280,000 to $336,000. Net income is expected to remain the same at $100,000 Compute the degree of operating leverage before and after the purchase of the new equipment. (Round answers to 2 decimal places, es 15.25) Degree of operating leverage Before After

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