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Home Q & A Board Other Fields Homework Help Business Accounting
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JZ240 JZ240
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2 months ago
Assume total sales of $800,000, total variable costs of $400,000, and total fixed costs of $300,000. Of these amounts, $200,000 of the variable costs are product costs, and $100,000 of the fixed costs are period costs. What is the degree of operating leverage?

▸ 0.25

▸ 2.00

▸ 8.00

▸ 4.00
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Managerial Accounting

Managerial Accounting


Edition: 4th
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aupadhay287aupadhay287
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2 months ago
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4.00

$800,000 - $400,000 = $400,000; $800,000 - $400,000 - $300,000 = $100,000; $400,000 ÷ $100,000 = 4.00
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JZ240 Author
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2 months ago
Good timing, thanks!
IvanaVR
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Yesterday
Smart ... Thanks!
zbmallo3
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2 hours ago
You make an excellent tutor!
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