Question: Based on the following operating data, the operating leverage is (Round your answer to 2 decimal places) : Sales $ 1,150,000 Variable costs 394,000 Contribution

Based on the following operating data, the operating leverage is (Round your answer to 2 decimal places):

Sales $ 1,150,000
Variable costs 394,000
Contribution margin 756,000
Fixed costs 151,000
Income from operations $ 605,000

Multiple Choice

  • 1.52

  • 0.52

  • 1.90

  • 1.25

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!