Sub: accounting Clermont Industries' operating leverage is 4.7.If the company's sales increase by 15%, its netoperating income should increase by about:

Concept of Operating Leverage:Operating leverage is a measure of how sensitive a company's operating…

Answered: Clermont Industries' operating leverage…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 23MC: If a firm has a contribution margin of $78M90 and a net income of $13,700 for the current month,...

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Clermont Industries' operating leverage is 4.7. If the company's sales increase by 15%, its net operating income should increase by about: Options-a. 4.7% b. 15.0% c. 70.5% d. 35.3%
The magnitude of operating leverage for Peterson Industries is 4.2 when sales are $150,000. If sales increase to $165,000, profits would be expected to increase by what percent?
Delta Industries has an operating leverage of 3.8. If the company's sales increase by 10%, by approximately how much should its net operating income increase? a) 10.0% b) 26.3% c) 38.0% d) 3.8%
The magnitude of operating leverage for Peterson Industries is 4.2 when sales are $150,000. If sales increase to $165,000, profits would be expected to increase by what percent? Help me
A firm’s contribution margin ratio is 18.4%. If the degree of operating leverage is 15.6 at the $223.1k sales level. Given this information, calculate the firm’s net operating income.
Net opreting income should increase?
its net operating income should increase by about:
The magnitude of operating leverage for Peterson Industries is 4.2 when sales are $150,000. If sales increase to $165,000, profits would be expected to increase by what percent? Not ChatGPT Answer
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Increase by what percent?
(Using degree of operating leverage) Last year Baker-Huggy Inc. had fixed costs of $150,000 and net operating income of $34,000. If sales increase by 18 percent, by how much will the firm's NOI increase? What would happen to the firm's NOI if sales decreased by 21 percent? If sales increase by 18%, the change in the firms NOI will be (a decrease or increase) of _ %
Sales for Green Inc. are expected to change by 16%. If Green's degree of operating leverage is 2.20, how much is Green's operating income expected to change? A В D E 1 2 3 Green's operating income is expected to change by: 4 6 7 8 9 10

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Clermont Industries' operating leverage is 4.7. If the company's sales increase by 15%, its net operating income should increase by about: