Sales at Zinc are expected to be $600,000 next year. Assuming no change in cost structure, this… 1 answer below »

The following information relates to Zinc Corporation for last year:

Sales

$500,000

Net operating income

$25,000

Degree of operating leverage

5

Sales at Zinc are expected to be $600,000 next year. Assuming no change in cost structure, this means that net operating income for next year should be:

A) $30,000

B) $45,000

C) $50,000

D) $125,000