Examlex
From which one of the following arteries can you most easily take a pulse?
Operating Leverage
A measure of how revenue growth translates into growth in operating income, indicating the degree to which a company can increase profit by increasing sales.
Variable Costs
Charges that shift in alignment with the volume of production or service tasks.
Operating Income
Earnings before interest and taxes (EBIT), a measure of a company's profit generated from its core operations excluding the effects of financing and taxes.
Operating Leverage
A measure of how revenue growth translates into growth in operating income, due to fixed costs within a company's operating structure.
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