A company with low operating leverage has lower

Name: A company with low operating leverage has lower
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Operating leverage is the degree to which a company uses fixed costs versus variable costs in its operations. A company with low operating leverage has lower fixed costs, meaning they rely more on variable costs. Lower fixed costs can lead to lower break-even points and potentially higher profit margins. Therefore, the correct answer is C) fixed costs.

A Company with Low Operating Leverage Has Lower