What is toms operating leverage factor at the target level

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Question 1: Tom's Taxidermy has a monthly target operating income of $23,000. Variable expenses are 60% of sales and monthly fixed expenses are $13,000. What is Tom's operating leverage factor at the target level of operating income?

A. 1.57

B. 0.43

C. 0.64

D. 2.771

Reference no: EM132476126

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