4 Atlas Company has a monthly target operating income of $20,000. Variable expenses are 60% of sales and monthly fixed expenses are $11,400. What is ?John's operating leverage factor at the target level of operating income 1.75 O 1.57 O 1.43 2.00 () 1.35

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Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 20MC: Wallace Industries has total contribution margin of $58,560 and net income of $24,400 for the month...
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4
Atlas Company has a monthly target operating income of $20,000. Variable
expenses are 60% of sales and monthly fixed expenses are $11,400. What is
?John's operating leverage factor at the targetlevel of operating income
1.75 )
1.57 ()
1.43 )
2.00 ()
1.35 ()
Transcribed Image Text:4 Atlas Company has a monthly target operating income of $20,000. Variable expenses are 60% of sales and monthly fixed expenses are $11,400. What is ?John's operating leverage factor at the targetlevel of operating income 1.75 ) 1.57 () 1.43 ) 2.00 () 1.35 ()
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