3. ABC has sales of 500 units at $10 a unit. Variable expenses are 40% of the selling price. If total fixed expenses are $1,000, the degree of operating leverage is: 4. When to calculate predetermined overhead rate and how is it calculated. 5. The following data pertains to activity and utility costs for two recent years: Activity level in units Utilities cost observed Year 2 22,000 Year 1 18,000 $5,000 $4,000 Using the high-low method, the cost formula for utilities is: 6. job order costing vs process costing: 7. ABC produces and sells a single product. Data concerning that product appear below: Selling price per unit Variable expense per unit Fixed expense per month $30 $10 $10,000 Assume the company's monthly target profit is $25,000. The dollar sales to attain that target profit is: