The Degree of Operating Leverage Can Be Multiplied by a Change

question 37

True/False

The degree of operating leverage can be multiplied by a change in sales to determine the change in profit.

---

Definitions:

Scientific Method

A systematic, logical approach to discovering how things in the universe work, involving hypothesis, experimentation, observation, and conclusions.

Hypothesis

A tentative explanation or assumption made on the basis of limited evidence as a starting point for further investigation.

Hypothesis

An initial theory offered following the observation of limited data, intended to guide subsequent detailed exploration.

Life-Span Perspective

An approach to the study of human development that includes all phases, from conception to death.