Turner Company's Contribution Margin Ratio Is 15

question 49

Multiple Choice

Turner Company's contribution margin ratio is 15%.If the degree of operating leverage is 12 at the $150,000 sales level,operating profit at the $150,000 sales level must equal:

• A)$1,500.
• B)$2,700.
• C)$2,160.
• D)$1,875.