User Account

All Pages

New level of operating leverage be higher or lower

Assignment Help Finance Basics
Reference no: EM131411866

At an output level of 53,000 units, you calculate that the degree of operating leverage is 3.21. If output rises to 57,000 units, what will the percentage change in operating cash flow be? Will the new level of operating leverage be higher or lower? Explain.

Reference no: EM131411866

Questions Cloud

What is the probability that it includes international news : A customer randomly picks a magazine from the shelf and notices that it is a news magazine. Given that it is a news magazine, what is the probability that it includes international news?
Compute the generalization error rate : Consider the decision tree shown in Figure 4.30.
Annual total costs of post card inventory : Post Card Depot, an large retailer of post cards, orders 3,523,730 post cards per year from its manufacturer. Post Card Depot plans on ordering post card 6 times over the next year. Post Card Depot receives the same number of post cards each time ..
How many of given are science majors and seniors : If there are 100 students in the class, how many of them are science majors?- If there are 100 students in the class, how many of them are science majors and seniors?
New level of operating leverage be higher or lower : At an output level of 53,000 units, you calculate that the degree of operating leverage is 3.21. If output rises to 57,000 units, what will the percentage change in operating cash flow be? Will the new level of operating leverage be higher or lowe..
How will your steep deminsion impact current events : A brief summary of the who,what,when where, why, and how of your event.choose your s,t,e,e,p aspect that relates to your event and explain your thoughts in support of your steep.how will your steep deminsion impact current events (like your) into the..
Calculate depreciation from the following information : Calculate depreciation from the following information.
How many of them are science majors and seniors : If there are 100 students in the class, how many of them are science majors?- If there are 100 students in the class, how many of them are science majors and seniors?
Effective annual cost of trade credit : Pets Store Inc. sells on terms of 1/15, net 45. What is the effective annual cost of trade credit under these terms? Use a 365-day year.

Reviews

Write a Review

Finance Basics Questions & Answers

  Following categories and probabilities to age its receivable

Brown Company uses the following categories and probabilities to age its receivables:

  Pension costs been blamed in the detroit bankruptcy

Discussion any new pension provisions. Also, why have pension costs been blamed in the Detroit bankruptcy?

  Assume that the effective interest rates for a six month

farmer jayne bought a 1.70-strike put option for 0.11 and sold a 1.75-strike call option for a premium of 0.14. both

  What is the value of martell mining''s stock

Martell Mining Company's ore reserves are being depleted, so its sales are falling. Also, its pit is getting deeper each year, so its costs are rising. As a result, the company's earnings and dividends are declining at the constant rate of 5 percent ..

  Basic resources and transforms

The important thing to know about production or operations is that the terms refer to any process that takes basic resources and transforms them into finished products.( )

  Determine agi ad the capital losses to be carried forward

To better understand the rules for offsetting capital losses and how to treat capital losses carried forward, analyze the following data for an unmarried individual for the period for the period 2007 through 2010. No capital loss carryforwards are..

  What is the internal growth rate of brandies candies

Brandies Candies has total assets of $1,200, total equity of $900, an ROA of 15%, and a dividend payout ratio of 40%. What is the internal growth rate of Brandies Candies?

  Foreign exchange risk using forward contracts

After it hedges its foreign exchange risk using forward contracts, is the financial institution's average spread in Figure likely to be greater than or less than 20 basis points? Explain answer.

  Evaluate the equipment purchase

Dividens are expected to continue growing at a rate of 5.5% per year into the indefinite future. If the firm's tax rate is 30%, what discount rate should you use to evaluate the equipment purchase?

  What is the impact on the value of the international assets

What is the impact on the value of the international assets and the cash flow if the dollar were to devalue by 10 percent against each currency (one at a time)?

  Does gaap reporting result in an accurate portrayal

iscuss the appropriate treatment of each proposed arrangement from the viewpoint of the auditor, who must apply GAAP in deciding whether the transaction will result in a liability to be recorded or whether footnote disclosure will suffice. Does GAAP ..

  Determine the optimal inventory policy

An item sells for $25 a unit but a 10% discount is offered for lots of 150 or more. A company uses this item at the rate of 20 units per day. The setup cost for ordering a lot is $50 and the holding cost per unit per day is $.30. The lead time is ..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd