The Degree of Operating Leverage Is Defined as the Percentage

question 199

Multiple Choice

The degree of operating leverage is defined as the percentage change in _____ relative to the percentage change in _____.

• A) net income; fixed costs
• B) net income; total revenue
• C) operating cash flow; fixed costs
• D) operating cash flow; total revenue
• E) operating cash flow; quantity sold

---

Definitions:

Olfaction

The sense of smell, a chemical sense that detects airborne molecules and contributes to taste and environmental awareness.

Cochlear Hair Cells

Sensory cells located in the cochlea of the ear; they are essential for converting sound vibrations into electrical signals for the brain to interpret as sound.

Localize Sound

The ability of an organism to determine the origin of a sound source in its environment.

Sensory Information

Data received from the environment through the senses, such as sight, sound, smell, touch, and taste.