Question: Which One is True ? 1) Increasing Variable Costs in relation to Fixed Costs will Increase your Operating Leverage 2) All of these Choices are

Which One is True ?

1) Increasing Variable Costs in relation to Fixed Costs will Increase your Operating Leverage

2) All of these Choices are True

3) Operating Leverage refers to the Degree to which a Businesses Net Income reacts to a Change in Sales Revenues

4) a Business with Larger Variable Costs relative to Fixed Costs will have a Larger Operating Leverage

5) When Sales Revenues are Increasing, a Business would prefer a Lower Operating Leverage

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