Based on the Following Operating Data, the Operating Leverage Is

Multiple Choice

Based on the following operating data, the operating leverage is: $$\begin{array} { | l | r | } \hline \text { Sales } & \$ \quad 500,000 \\\hline \text { Variable costs } & 280,000 \\\hline \text { Contribution margin } & 220,000 \\\hline \text { Fired costs } & 180,000 \\\hline \text { Income from operations } & \$ 40,000 \\\hline\end{array}$$

A) 0.18
B) 5.50
C) 1.22
D) 12.5