Essay
Langin Corporation has provided the following contribution format income statement. All questions concern situations that are within the relevant range.
Required:
a. What is the margin of safety percentage?
b. Using the degree of operating leverage, what is the estimated percent increase in net operating income of a 15% increase in sales?
Correct Answer:
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a. CM ratio = Contribution margin ÷ Sale...View Answer
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Correct Answer:
Verified
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