Can you help me With general accounting question ? The following income statement is provided for Alpine Manufacturing:ItemAmountSales Revenue (2,000 @ $40 per unit) $80,000Variable Costs (2,000 @ $25 per unit) $50,000Fixed CostsNet Income$18,000$12,000What is this company's magnitude of operating leverage?a. 0.67b. 1.50c. 2.50d. 4.00

Step 1: Define Degree of Operating Leverage (DOL)The degree of operating leverage (DOL) measures the…

Answered: The following income statement is…

Survey of Accounting (Accounting I)

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Problem 3SEQ: Division A of Kern Co. has sales of $350,000, cost of goods sold of $200,000, operating expenses of...

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The single-column CVP income statements shown below are available for Wildhorse Company and Blossom Company, Sales Variable costs Contribution margin Fixed costs Net income Wildhorse Wildhorse Co. Blossom $495,000 239,000 256,000 1000 156,000 $100,000 Blossom Co. Degree of Operating Leverage $495,000 (a1) Compute the degree of operating leverage for each company. (Round answers to 2 decimal places, e.g. 1.15.) $ 51,000 444,000 344,000 $100,000 (b) Assuming that sales revenue increases by 10% (due to a 10% increase in the number of units sold), prepare a single-plumn CVP income statement for each company. Wildhorse Company $ tA $ Blossom Company
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The following income statement is provided for Alpine Manufacturing: Item Amount Sales Revenue (2,000 @ $40 per unit) $80,000 Variable Costs (2,000 @ $25 per unit) $50,000 Fixed Costs Net Income $18,000 $12,000 What is this company's magnitude of operating leverage? a. 0.67 b. 1.50 c. 2.50 d. 4.00