At a sales level of 270000 the magnitude of operating
At a sales level of $270,000, the magnitude of operating leverage for Donuts Unlimited is 1.5. If sales increase by 20%, profits (net income) will increase by:
a. 20%
b. 1.5%
c. 15%
d. 30%
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Based on the above information, calculate the amount of bad debt expense recorded by Betty.
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