Multiple Choice
The degree of operating leverage is calculated as
A) net operating income divided by contribution margin.
B) contribution margin divided by sales.
C) net operating income divided by sales.
D) contribution margin divided by net operating income.
Correct Answer:

Verified
Correct Answer:
Verified
Q26: Mercantile Corporation has sales of $2,000,000, variable
Q161: What basic information is needed in order
Q162: At the breakeven point, which of the
Q163: Which of the following formulas represents the
Q164: Assume total fixed costs of $160,000, variable
Q166: The formula for calculating the sales dollars
Q167: What is meant by the term "sales
Q168: Patch Work's product, Patch Supreme, sells for
Q169: The formula for converting desired net income
Q170: Cost-volume-profit analysis helps managers assess the impact