What is the degree of operating leverage at the given level

Reference no: EM13616869

Consider a four-year project with the following information: initial fixed asset investment = $490,000; straight-line depreciation to zero over the four-year life; zero salvage value; price = $34; variable costs = $24; fixed costs = $190,000; quantity sold = 79,000 units; tax rate = 34 percent.

1. What is the degree of operating leverage at the given level of output? (Round your answer to 4 decimal places. (e.g., 32.1616))

Degree of operating leverage

2. What is the degree of operating leverage at the accounting break-even level of output? (

Reference no: EM13616869

Questions Cloud

The average drive to work for a sample of 6 teachers at a : the average drive to work for a sample of 6 teachers at a large high school is 17 miles. the standard deviation of this

An important application of regression analysis in : an important application of regression analysis in accounting is in the estimation of cost. by collecting data on

If a marketing manager uses the task method to budget for : if a marketing manager uses the task method to budget for marketing promotions are competitors promotions spending

A history class has 75 members if there is a 12 absentee : a history class has 75 members. if there is a 12 absentee rate per class meeting nd the mean variance and standard

What is the degree of operating leverage at the given level : consider a four-year project with the following information initial fixed asset investment 490000 straight-line

A large tank of fish from a hatchery is being delivered to : a large tank of fish from a hatchery is being delivered to a lake. the hatchery claims that the mean length of fish in

A piece of cheese with a mass of 122kg is placed on a : a piece of cheese with a mass of 1.22kg is placed on a vertical spring of negligible mass and a force constant k 1500nm

Assuming the latter scenario you plan to leave nothing to : 1. current salary 156372.31 according to financial planners the average retiree requires approximately 70 of their last

Conduct a test of hypotheses with the intent of showing : to monitor complex chemical processes chemical engineers will consider key process indicators which may be just yield

User Account

All Pages