Exercise 11-25 Operating Leverage Rose Inc. and Tulip Inc. have the following operating data: a. Compute the operating leverage for Rose Inc. and Tulip Inc. If required, round to one decimal

Exercise 11-25

Operating Leverage

Rose Inc. and Tulip Inc. have the following operating data:

a. Compute the operating leverage for Rose Inc. and Tulip Inc. If required, round to one decimal place.

Rose Inc.

Tulip Inc.

b. How much would income from operations increase for each company if the sales of each increased by 25%?

Dollars Percentage

Rose Inc. $ %

Tulip Inc. $ %

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