The Degree of Operating Leverage (DOL) Can Be Measured by the Percent

question 85

Multiple Choice

The degree of operating leverage (DOL) can be measured by the percent change in operating income (EBIT) divided by percent change in:

• A)fixed costs
• B)variable costs
• C)unit sales
• D)total costs

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Definitions:

Pyloric Sphincter

The ring of muscle that regulates the passage of food from the stomach to the duodenum of the small intestine.

Gastric Ulcer

A sore on the lining of the stomach or duodenum often caused by infection, medication, or chronic stomach acid irritation.

Esophagitis

Inflammation of the esophagus, which can cause pain, difficulty swallowing, and other discomforts.

Duodenal Ulcer

A type of peptic ulcer that occurs in the upper part of the small intestine, known as the duodenum.