Grandville Fittings earns a quarterly operating profit of $1,500,000 and has an operating leverage of 1.8. Wheeler

Question:

Grandville Fittings earns a quarterly operating profit of $1,500,000 and has an operating leverage of 1.8. Wheeler Works, Inc. earns a quarterly operating profit of $660,000 and has an operating leverage of 3.0. Quarterly revenues total $4,500,000 for Grandville Fittings and $2,400,000 for Wheeler Works, Inc.


Required

Calculate the break-even points in sales dollars for

a. Grandville Fittings.

b. Wheeler Works, Inc.

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