Based on the Following Operating Data,the Operating Leverage Is A) 018
B) 5

question 96

Multiple Choice

Based on the following operating data,the operating leverage is: $$\begin{array} { l r } \text { Sales } & \$ 500,000 \\\text { Variable costs } & \underline{280,000} \\\text { Contribution margin } & 220,000 \\\text { Fixed costs } & \underline{180,000} \\\text { Income from operations }& \underline{\$ 40,000} \\\end{array}$$

• A) 0.18
• B) 5.50
• C) 1.22
• D) 12.5