Degree of Operating Leverage (DOL) Is Defined as Total Contribution

question 96

True/False

Degree of operating leverage (DOL) is defined as total contribution margin in dollars divided by pretax income.

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Definitions:

Habitat

The natural environment in which a particular species of plant or animal lives, characterized by both physical and biological features.

Lithosphere

The rigid outer layer of the Earth, composed of the crust and the upper part of the mantle.

Earth's Crust

The outermost layer of the Earth, comprising a thin layer of rocks and minerals that houses the planet's oceans and continents.

Upper Mantle

The region of the Earth's mantle that lies just beneath the crust and extends to deeper mantle layers, involved in tectonic movements.