rightdimple3516 rightdimple3516
  • 25-02-2021
  • Business
contestada

X Company's degree of operating leverage (DOL) at the current sales volume level is calculated to be:

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Tundexi
Tundexi Tundexi
  • 28-02-2021

Answer:

4

Explanation:

Note: The complete question is attached as picture below

Degree of Operating Leverage = Contribution/Operating Income

Degree of Operating Leverage = $48000 / $12000

Degree of Operating Leverage = 4

So. X Company's degree of operating leverage (DOL) at the current sales volume level is calculated to be 4

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