35) Sally's Optimist Club promotes optimism to the youth in Virginia. If the club has...

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Accounting

35) Sally's Optimist Club promotes optimism to the youth in Virginia. If the club has a degree of operating leverage of 3.0 and the sales increase by 25%, then:

A. total variable costs will increase by 50%.

B. profit will increase by 30%.

C. total variable costs will increase by 75%.

D. total variable costs will not change.

E. profit will increase by 75%.

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