Archive | Operating Leverage

Operating Leverage: Introduction, Method and Degree

After reading this article you will learn about Operating Leverage:- 1. Introduction to Operating Leverage 2. Method of Computing Operating Leverage 3. Degree 4. Relationship between Operating Leverage and CVP Analysis. Introduction to Operating Leverage: Operating leverage arises when the operating profit varies disproportionately with the amount of sales, i.e., it appears from the existence […]

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