The following CVP income statements are available for Cullumber Corp. and Ivanhoe, Inc. Cullumber Ivanhoe, Inc. Corp. Sales revenue $742,000 $742,000 Variable costs 371,000 225,250 Contribution margin...


The following CVP income statements are available for Cullumber Corp. and Ivanhoe, Inc.<br>Cullumber<br>Ivanhoe, Inc.<br>Corp.<br>Sales revenue<br>$742,000<br>$742,000<br>Variable costs<br>371,000<br>225,250<br>Contribution margin<br>371,000<br>516,750<br>Fixed costs<br>238,500<br>384,250<br>Net income<br>$132,500<br>$132,500<br>(a)<br>Compute the degree of operating leverage for each company. (Round answers to 1 decimal place, e.g. 15.5.)<br>Degree of<br>Operating Leverage<br>Cullumber<br>Ivanhoe<br>

Extracted text: The following CVP income statements are available for Cullumber Corp. and Ivanhoe, Inc. Cullumber Ivanhoe, Inc. Corp. Sales revenue $742,000 $742,000 Variable costs 371,000 225,250 Contribution margin 371,000 516,750 Fixed costs 238,500 384,250 Net income $132,500 $132,500 (a) Compute the degree of operating leverage for each company. (Round answers to 1 decimal place, e.g. 15.5.) Degree of Operating Leverage Cullumber Ivanhoe

Jun 11, 2022
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