Based on the Following Operating Data, the Operating Leverage Is

question 51

Multiple Choice

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

• A)0.18
• B)5.50
• C)1.22
• D)12.5

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Definitions:

Hypotheses Testing

A statistical approach that employs data from a sample to test a theory regarding a population attribute.

Population Proportions

The ratio of a particular group within a population to the entire population.

Worker Safety

This term refers to the protocols, practices, and measures implemented to ensure the physical and psychological welfare of workers in their workplace.

OSHA

The Occupational Safety and Health Administration is an agency of the U.S. government tasked with maintaining safe and healthy conditions in workplaces.