Multiple Choice
Which is characteristic of operating leverage?
A) concerned with the relative mix of contribution margin and margin of safety
B) the use of fixed costs to extract higher percentage changes in profits as sales activity changes
C) likely to be lower in an automated manufacturing system than in a manual system
D) provides the same information as margin of safety
Correct Answer:

Verified
Correct Answer:
Verified
Q19: What is the equation to calculate contribution
Q20: What formula is used to calculate the
Q21: Roundstreet Company sells a product for $14.Variable
Q22: East Side Company produces two products,X and
Q23: What is total contribution margin divided by
Q25: Firm X and Firm Y compete within
Q26: The following data pertain to the
Q27: If fixed costs increase,the break-even point also
Q29: Date Company makes calendars. Information on
Q129: Given the following numbers from Webster Company,