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At an output level of 73,000 units, you calculate that the degree of operating leverage is 2.90. If output rises to 78,000 units, what will

At an output level of 73,000 units, you calculate that the degree of operating leverage is 2.90.

If output rises to 78,000 units, what will the percentage change in operating cash flow be? Will the new level of operating leverage be higher or lower? Explain?

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