Klein Company distributes a high-quality bird feeder that sells for $30 per unit. Variable...
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Accounting
Klein Company distributes a high-quality bird feeder that sells for $30 per unit. Variable costs are $12 per unit, and fixed costs total $270,000 annually.
Assume that the operating results for last year were as follows
Sales (60,000 Units) total: $600,000
Variable Cost total:240,000
Contribution Margin total: 360,000
Fixed Cost total:270,000
Operating Income total:90,000
Compute the degree of operating leverage at the current level of sales.
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