Light Me Up Lamps Has Variable Expenses of 30% of Sales

question 125

Multiple Choice

Light Me Up Lamps has variable expenses of 30% of sales and monthly fixed expenses of $140,000. The monthly target operating income is $70,000. What is Light Me Up Lamps' operating leverage factor at the target level of operating income?

• A)0)33
• B)3)00
• C)2)00
• D)1)50

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Definitions:

Facilitate Acceptance

The act of making it easier for people to welcome or approve of new ideas, changes, or innovations.

Ceremonies

are formal events or rituals conducted on special occasions, often symbolic, celebrating notable milestones or achievements within cultures, organizations, or personal lives.

Temporary Setbacks

Short-term failures or delays that hinder progress but can often be overcome with effort and resilience.

Key Position

A significant or strategic role within an organization that holds considerable influence or responsibility.