What is the degree of operating leverage for Flippin' Out Company, a maker of scuba flippers, f the firm sells its finished product for $50 per unit with variable costs per unit of $15? The company has fixed operating costs of $2,000,000 and sells 200,000 units (the answer is rounded).
A) 2.0
B) 3.7
C) 6.5
D) 1.4

Question

Quizplus · Accepted Answer

Solution:= 11ea10f6_a163_4c89_b6b3_1707e475de3d_TB2040_11 1.4

What Is the Degree of Operating Leverage for Flippin' Out