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Question - Waterway Corporation had net sales of $2,412,400 and interest revenue of $36,500 during 2020. Expenses for 2020 were cost of goods sold $1,467,400, administrative expenses $215,800, selling expenses $280,100, and interest expense $48,200. Waterway's tax rate is 30%. The corporation had 103,900 shares of common stock authorized and 72,220 shares issued and outstanding during 2020. Make a single-step income statement for the year ended December 31, 2020.
Question 1: The degree of operating leverage is computed as:
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A. Jones bought a motor car on Hire Purchase terms from M.B.J. Ltd. on the 1st January, 1959. The H.P. Price was £2,075 payable by an immediate deposit of £500.
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