Operating Leverage Airlines offer an example of an industry in which the degree of operating leverage is
Question:
Operating Leverage Airlines offer an example of an industry in which the degree of operating leverage is fairly high. Why?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 61% (13 reviews)
Fixed costs are relatively high because airlines are relativ...View the full answer
Answered By
Utsab mitra
I have the expertise to deliver these subjects to college and higher-level students. The services would involve only solving assignments, homework help, and others.
I have experience in delivering these subjects for the last 6 years on a freelancing basis in different companies around the globe. I am CMA certified and CGMA UK. I have professional experience of 18 years in the industry involved in the manufacturing company and IT implementation experience of over 12 years.
I have delivered this help to students effortlessly, which is essential to give the students a good grade in their studies.
3.50+
2+ Reviews
10+ Question Solved
Related Book For
Fundamentals of Corporate Finance
ISBN: 978-0077861629
8th Edition
Authors: Stephen A. Ross, Randolph W. Westerfield, Bradford D.Jordan
Question Posted:
Students also viewed these Corporate Finance questions
-
Asha Ltd, issued shares of Rs. 100 each at a premium of 25% mamta who has Rs. 2,000 shares of Asha ltd. Failed Rs. 5. Premium was taken at the company. On forfeiture of Mamta's shares, the amount to...
-
Give an example of an industry that would be characterized by (a) A high asset turnover ratio and a low profit margin ratio, and (b) A low asset turnover ratio and a high profit margin ratio.
-
What is an example of an industry that would need to spend a minimum amount on advertising to be competitive? On research and development?
-
Suppose that we want to know the mass of gasoline in an automobile's gas tank. The tank has a volume of 70 L, and a handbook of fluid properties states that the density of gasoline is 736 kg/m. (1000...
-
An hourglass is turned over, and the sand is allowed to pour from the upper half of the glass to the lower half. If the hourglass is resting on a scale, and the total mass of the hourglass and sand...
-
The output below is from a multiple linear regression analysis done by an area realty group. The analysis is intended to link y, the time that a house listed for sale remains on the market, to the...
-
On April 10, 2016, when the spot rate is \($1.30/,\) a U.S. company sells merchandise to a customer in Italy. The spot rate is \($1.31/\) on June 30, the companys year-end. Payment of 100,000 is...
-
In Shady Company, materials are entered at the beginning of each process. Work in process inventories, with the percentage of work done on conversion costs, and production data for its Sterilizing...
-
A client explains that her firm's value must be affected by the choice of explicit forecast horizon. To build a model to test her claim, you are provided the information of her company as below: ...
-
Consider a binary mixture for which the excess Gibbs energy is given by G E /RT = 2.6x 1 x 2 . For each of the following overall compositions, determine whether one or two liquid phases will be...
-
Operating Leverage At one time at least, many Japanese companies had a no-layoff policy (for that matter, so did IBM). What are the implications of such a policy for the degree of operating leverage...
-
Break-Even As a shareholder of a firm that is contemplating a new project, would you he more concerned with the accounting break-even point, the cash break-even point, or the financial break-even...
-
Find each limit in Problems 11-18, if it exists. \(\lim _{n ightarrow \infty} \frac{3 n-1}{1-2 n}\)
-
Will is practicing pitching and using a 10-lb block as a backstop. He throws the 1-lb baseball at 20 ft/s and after impact the block starts to move. If e=0.6 between the baseball and block and k of...
-
While checking the Liquidity of company Z for the last 3 years 2018, 2019 and 2020 you noticed the followings: 1.The current ratio was decreasing while the quick ratio was increasing over time. 2.The...
-
Determine the minimum width of a 30ft long cantilever W14 steel I-beam that carries a uniform 300 lb/ft load without exceeding a maximum allowable bending stress of 30 ksi. Then, check that the...
-
How would the addition of 2 south - facing windows that accept sunlight affect the heating requirements on a sunny day. Consider a simple example where both windows are 1 - meter on a side, are made...
-
Evaluate the determinant of the matrix. 5 3 A = 8 2 3 4
-
Fill in the Blanks. Finite difference equations can be derived using ____________ different approaches.
-
If the jobs displayed in Table 18.24 are processed using the earliestdue-date rule, what would be the lateness of job C? TABLE 18.24 Processing Times and Due Dates for Five Jobs Job C D E...
-
You are given the following regarding stock of Widget World Wide (WWW): (i) The stock is currently selling for $50. (ii) One year from now the stock will sell for either $40 or $55. (iii) The stock...
-
Corporate ownership varies around the world. Historically individuals have owned the majority of shares in public corporations in the United States. In Germany and Japan, however, banks, other large...
-
Critics have charged that compensation to top managers in the Units States is simply too high and should be cut back. For example, focusing on large corporations, Larry Ellison of Oracle has been one...
-
What does liquidity measure? Explain the trade-off a firm faces between high liquidity and low liquidity levels.
-
Delta Company, a U.S. MNC, is contemplating making a foreigncapital expenditure in South Africa. The initial cost of theproject is ZAR13,600. The annual cash flows over the five-yeareconomic life o 2...
-
Write the function using fat arrow syntax, `tipCalculator` that takes in an arbitrary number of arguments as prices, adds them up and returns a string containing the recommended tip following this...
-
Part 1: Sama Manufacturing Company produces inventory in ahighly automated assembly plant in Massachusetts. The automatedsystem is in its first year of operation and management decided toestimate t 2...
Study smarter with the SolutionInn App