Use the Information Below to Answer the Following Question(s)

question 182

Multiple Choice

Use the information below to answer the following question(s) .
Ava's Fruit Cups has a monthly target operating income of $5,425. Variable expenses are 30% of sales and monthly fixed expenses are $9,800.
-What is Ava's operating leverage factor at the target level of operating income?

• A) 0.55
• B) 0.36
• C) 2.8
• D) 1.8

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Definitions:

Transformational Leadership

A style of leadership where a leader works with teams to identify needed change, creating a vision to guide the change through inspiration, and executing the change in tandem with committed members of a group.

Empowered Followers

Followers who are given authority, resources, and confidence by their leaders to make decisions and take actions.

Charismatic Leaders

Are leaders who inspire and motivate followers through their innate charm, persuasion, and the articulation of a compelling vision.

Communicating Vision

The process of sharing and explaining a clear, inspirational future state of an organization or project to stakeholders to align efforts.