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1. ToughenUp Fitness and Health Centre has been in business for more than 3 years. Unfortunately, it has never managed to break even since the

1. ToughenUp Fitness and Health Centre has been in business for more than 3

years. Unfortunately, it has never managed to break even since the onset. What

would be your suggestions to help the business to reach its break-even point?

2. A company with high operating gearing has profits which are more sensitive to

sales than a company with low operating gearing. Do you agree with the

statement?

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