Business, 15.04.2021 19:50, mary9776

Operating Leverage SunRise Inc. and SunSet Inc. have the following operating data: SunRise Inc. SunSet Inc Sales $ 3,125,000 $ 8,400,000 Variable costs (1,875,000) (5,000,000) Contribution margin $ 1,250,000 $ 3,400,000 Fixed costs (750,000) (2,400,000) Operating income $ 500,000 $ 1,000,000 a. Compute the operating leverage for SunRise Inc. and SunSet Inc. If required, round to one decimal place. SunRise Inc. fill in the blank 1 SunSet Inc. fill in the blank 2 b. How much would operating income increase for each company if the sales of each increased by 25%

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Operating Leverage SunRise Inc. and SunSet Inc. have the following operating data: SunRise Inc. SunS...