Chapter 19, Problem 1CCTC

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What is the operating leverage ?

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Bradford Enterprises sells two products, blue pens and green notebooks. Bradford predicts that it will sell 3,200 blue pens and 900 green notebooks in the next period. The unit contribution margins for blue pens and green notebooks are $2.80 and $4.20, respectively. What is the weighted average unit contribution margin?

Please provide the correct answer to this financial accounting problem using accurate calculations.

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