Required information [The following information applies to the questions displayed below] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units the relevant range of production is 500 units to 1500 units) Sales Variable expenses Contribution margin Fixed expenses Net operating incone $ 55,000 33,000 22,000 14,944 12. What is the degree of operating leverage? (Round your answer to 2 decimal places) Degree of operating leverage

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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[The following information applies to the questions displayed below]
Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units the
relevant range of production is 500 units to 1500 units)
Sales
Variable expenses
Contribution margin
Fixed expenses
Net operating income
$ 35,000
31,000
22,000
14,960
$7,040
12. What is the degree of operating leverage? (Round your answer to 2 decimal places)
Degree of operating leverage
Transcribed Image Text:Required information [The following information applies to the questions displayed below] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units the relevant range of production is 500 units to 1500 units) Sales Variable expenses Contribution margin Fixed expenses Net operating income $ 35,000 31,000 22,000 14,960 $7,040 12. What is the degree of operating leverage? (Round your answer to 2 decimal places) Degree of operating leverage
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