The Concept of Operating Leverage Refers to Which of the Following

question 39

Multiple Choice

The concept of operating leverage refers to which of the following?

• A)Operating income changes proportionately more than revenues for any given change in activity level.
• B)Operating income changes proportionately less than revenues for any given change in activity level.
• C)Operating income changes proportionately more than income for any given change in activity level.
• D)Operating income changes proportionately less than income for any given change in activity level.

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Definitions:

Torso

The central part of the human body to which the head, arms, and legs are attached; it includes the chest, back, and abdomen.

Ears

Organs of hearing and balance in humans and other vertebrates, responsible for detecting sound waves and converting them into signals that can be processed by the brain.

Feet

The lower extremity of the leg below the ankle, on which a person stands or walks.

Leptin

A hormone that affects appetite and is believed to affect the onset of puberty. Leptin levels increase during childhood and peak at around age 12.