--%>

Examples of high operating leverage company

Give two instances of types of companies likely to contain high operating leverage. Give examples.
Long distance telephone companies & electricity generating companies are likely to contain operating leverage. These two kinds of companies contain very high fixed costs, since they are capital intensive, and contain relatively low variable costs.

   Related Questions in Finance Basics

  • Q : Marketing of hardware stores Normal 0

    Normal 0 false false

  • Q : Which insurance company takes on the

    Which kind of insurance company usually takes on the greater risks: a life insurance company or a property and casualty insurance company? The risks sheltered against by property and casualty companies are much less predictable than are the risk

  • Q : Shapes of marginal-cost and the

    Normal 0 false false

  • Q : Define Legislative Counsel Digest

    Legislative Counsel Digest: The summary of what a legislative measure does contrasting the existing law and the proposed change. This summary emerges on the first page of the bill.

  • Q : Microeconomics or macroeconomics Denote

    Denote whether each of statements applies to microeconomics or macroeconomics: a. In Canada, the unemployment rate was 7.0 percent in January 2005. b. A Canadian software firm d

  • Q : What is Special Items of Expense

    Special Items of Expense: It is an expenditure category which covers nonrecurring big expenditures or special aim expenditures which usually need a separate appropriation (or else need separation for clarity).

  • Q : What is means of correlation

    What does this mean while we say that the correlation coefficient for two variables is -1? What does it mean if this value were zero? What does it mean if it were +1?Correlation is calculated by the correlation coefficient, represented through t

  • Q : Explain Budget Bill Budget Bill : The

    Budget Bill: The legislation symbolizing the Governor’s proposal for spending authorization for the subsequent fiscal year. The Budget Bill is all set by the Department of Finance and submitted to each house of the Legislature i

  • Q : Derive the long-run aggregate supply

    Normal 0 false false

  • Q : Define Programs Programs : The

    Programs: The activities of an association grouped on the basis of common objectives. The programs are included of elements that can be further classified into tasks and components.