Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. which of the following companies would you expect

Which of the following companies would you expect to have thehighest operating leverage number...

70.2K

Verified Solution

Question

Accounting

Which of the following companies would you expect to have thehighest operating leverage number and which would have the lowest?Be sure to explain your choices.
Amazon
Intel
Walmart

Answer & Explanation Solved by verified expert
4.2 Ratings (545 Votes)
Operating leverage Operating leverage is the degree to which a firm or project can increase operating income by increasing revenue A business that generates sales with a high gross margin and low variable costs has high operating leverage The higher the degree of operating leverage the greater the potential danger from forecasting risk where a relatively small error in forecasting sales can be magnified into large    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Transcribed Image Text

In: AccountingWhich of the following companies would you expect to have thehighest operating leverage number and...Which of the following companies would you expect to have thehighest operating leverage number and which would have the lowest?Be sure to explain your choices.AmazonIntelWalmart

Other questions asked by students

Q

A dorm at a college houses 1900 students. One​ day, 20 of the students become ill...

Advance Math
Q

How many ways are there to rearrange the letters in MARKER? Show Work

Advance Math
Q

fried 6 There is an annual squid eating contest happening where contestants eat as many...

Basic Math
Q

1 Daniel had 25 to spend at the fair If the admission to the fair...

Calculus
Q

Slope 4 passing through 2 17 What is the point slope form of the equation...

Calculus
Q

FTUDICI OUZA S At December 31,...

Accounting
Q

Content Area Machinery was purchased on January 1 for $52,920. The machinery has an estimated...

Accounting
Q

Current Attempt in Progress Items from Swifty Company's budget for March, in which 1500 units...

Accounting
Q

Contractual capacity includes the financial ability to pay for the benefits of a contract. True...

Accounting
Q

Question 8 Not yet answered Marked out of 2 P Flag question Salalah company's shows...

Accounting
Q

Outline the key academic debates regarding the informational efficiency of capital markets.(800 words)

Accounting
Q

3. Assume you have two mutually exclusive projects, Project A and Project B, with the...

Finance