Question: Consider the following summary modified income statement for Tech Inc.: Sales $552,000 Variable Operating Costs 233,000 Contribution Margin $319,000 Fixed Operating costs 130,000 Operating Income

Consider the following summary modified income statement for Tech Inc.: Sales

Consider the following summary modified income statement for Tech Inc.: Sales $552,000 Variable Operating Costs 233,000 Contribution Margin $319,000 Fixed Operating costs 130,000 Operating Income $189,000 Interest Expense 21,000 Net Income $168,000 Calculate Tech's degree of operating leverage. 2 Degree of Operating Leverage = 10

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