The Degree of Operating Leverage Is Equal To

question 13

Multiple Choice

The degree of operating leverage is equal to:

• A)the percentage change in quantity divided by the percentage change in OCF.
• B)the percentage change in sales divided by the percentage change in OCF.
• C)1 + FC/OCF.
• D)1 + VC/OCF.
• E)1 - (FC + VC)/OCF.

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Definitions:

Mitochondrion

An organelle found in large numbers in most cells, in which the biochemical processes of respiration and energy production occur.

Cytoplasm

Cellular matter, not including the nucleus of a cell.

Sciatica

Inflammation and pain along the sciatic nerve felt at the back of the thigh running down the inside of the leg.

Multiple Sclerosis (MS)

A chronic autoimmune disease affecting the central nervous system, leading to varying levels of physical and cognitive impairments.