The Higher the Operating Leverage Factor,the

question 35

Multiple Choice

The higher the operating leverage factor,the:

• A)greater the impact of volume on operating income.
• B)lesser the impact of volume on operating income.
• C)more likely operating income is to stay constant.
• D)greater the chance that none of the above occur.

Comprehend the relationship between price changes and consumer behavior.

Distinguish between demand and quantity demanded.

Understand the difference between a decrease in quantity demanded and a decrease in demand.

Recognize how changes in consumer tastes affect market demand.