Bendel Inc

question 230

Multiple Choice

Bendel Inc.has an operating leverage of 7.3.If the company's sales increase by 3%,its net operating income should increase by about:

• A) 243.3%
• B) 7.3%
• C) 21.9%
• D) 3.0%

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Definitions:

Hybrid Cars

Vehicles that use a combination of an internal combustion engine and one or more electric motors to reduce fuel consumption and emissions.

Opportunity Cost

The value of the best alternative forgone when a decision is made over others.

Hybrid Cars

Vehicles powered by a combination of an internal combustion engine and one or more electric motors, using less fuel and emitting less CO2 than conventional vehicles.

Motorcycles

Two-wheeled vehicles that are powered by an engine, often used for both transportation and recreation.