Question: Question 25 (3 points) Sales (75,000 units) $750,000 Variable costs 225,000 Contribution margin 525,000 Fixed manufacturing costs 187,500 Operating income 337,500 Interest 75,000 Earnings

Question 25 (3 points) Sales (75,000 units) $750,000 Variable costs 225,000 Contribution

Question 25 (3 points) Sales (75,000 units) $750,000 Variable costs 225,000 Contribution margin 525,000 Fixed manufacturing costs 187,500 Operating income 337,500 Interest 75,000 Earnings before taxes 262,500 Taxes (at 31%) 81,375 Net income $181,125 Shares outstanding The Degree of Operating Leverage is: 1.56x. 15,000 1.43x. 3.33x. 2.22x.

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