The information for Primrose Corporation is given below. Degree of operating leverage 3 Break-even revenue Variable Expense 220,000 45% of Sales What is the actual net operating income? A. $ 60,500 B. $ 66,000 C. S 181,500 D. $ 198,000 E. None of the above

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 29E
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The information for Primrose Corporation is given below.
Degree of operating leverage 3
Break-even revenue
Variable Expense
220,000
45% of Sales
What is the actual net operating income?
A. $ 60,500
B. $ 66,000
C. S 181,500
D. $ 198,000
E. None of the above
Transcribed Image Text:The information for Primrose Corporation is given below. Degree of operating leverage 3 Break-even revenue Variable Expense 220,000 45% of Sales What is the actual net operating income? A. $ 60,500 B. $ 66,000 C. S 181,500 D. $ 198,000 E. None of the above
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