Examlex
If prices are inflexible, then a negative demand shock will lead to
Sales Mix
The combination of products and services sold by a company, significantly impacting its overall profitability and performance.
Degree of Operating Leverage
A ratio that measures the sensitivity of a company's operating income to its sales, indicating how revenue growth translates to growth in operating income.
Degree of Operating Leverage
A financial metric that measures the sensitivity of a company's operating income to its sales volume.
Margin of Safety
The amount by which sales can drop before reaching the break-even point, typically expressed as a percentage of current sales.
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