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What is the firm degree of operating leverage

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Last Chance Gaming manufactures slot machines that are sold to individuals for $575 each. Fixed operating costs are $690,000, and each machine's variable cost is 70 percent of its selling price. What is the firm's degree of operating leverage at sales equal to (a) 6,000 machines, (b) 9,000 machines, and (c) 12,000 machines?

Reference no: EM132504019

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