Question: What does the profit leverage effect indicate? Saving one dollar on logistics is the same as selling an additional dollar s worth of product. Only

What does the profit leverage effect indicate?
Saving one dollar on logistics is the same as selling an additional dollars worth of product.
Only a small portion of each dollar saved in logistics makes it to the bottom line
We can translate the cost savings from logistics into the sales equivalent required to have the same profit impact.
Companies should focus on saving money more than generating additional revenue.

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