A proposed project has fixed costs of $76,000 per year. The operating cash flow at 9,200 units
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A proposed project has fixed costs of $76,000 per year. The operating cash flow at 9,200 units is $108,700. Ignoring the effect of taxes, what is the degree of operating leverage? If units sold rise from 9,200 to 10,000, what will be the increase in operating cash flow? What is the new degree of operating leverage?
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Related Book For
Fundamentals Of Corporate Finance
ISBN: 9781265553609
13th Edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
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