Remo Company and Angelo Inc. are separate companies that operate in the same industry. Following are variable costing in
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Remo Company and Angelo Inc. are separate companies that operate in the same industry. Following are variable costing in
Company and Angelo Inc. are separate companies that operate in the same industry. Following are variable costing income statements for the two companies showing their different cost structures: Sales revenue Less: Variable cost Contribution margin Less: Fixed cost Net operating income Angelo Remo Co. Inc. $420,000 $420,000 273,000 180,000 $147,000 $240,000 50,000 143,000 $ 97,000 $97,000 Required: Calculate each company's degree of operating leverage. (Round your answers to 3 decimal places.) Degree of Operating Leverage Remo Co. Angelo Inc.
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