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Alpha Corporation reported the following data for its most recent year: sales, $1,000,000; variable expenses, $600,000; and fixed expenses, $300,000. The company's degree of operating leverage is closest to:
Contractual Obligations
Duties that are legally required to be performed under the terms of a contract.
Foreseeable Loss
Losses that could have been anticipated or predicted as a consequence of an action or inaction, relevant in determining liability.
Non Est Factum
A defense in contract law where a party claims they were mistaken about the nature of the document signed, not merely its terms.
Caveat Emptor
A Latin phrase meaning "let the buyer beware," placing the responsibility on the buyer to perform due diligence before making a purchase.
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