4b rpund to two decimal places

Russell Preston delivers parts for several local auto parts stores. He charges clients $0.90 per mile driven. Russcll has determined that if he drives 3,400 miles in a month, his average operating cost is $0.70 per mile. If he drives 4,400 miles in a month, his average operating cost is $0.60 per mile. Russell has used the high-low method to determine that his monthly cost equation is total cost = $960+$0.26 per mile. Required: 1. Determine how many miles Russell needs to drive to break even. 2. Assume Russell drove 1,750 miles last month. Without making any additional calcuiations, dotermine whether he earned a profit or a loss last month. 3. Determine how many miles Russell must drive to earn $1,600 in profit. 4-a. Prepare a contribution margin income statement assuming Russell drove 1,750 miles last month. 4-b. Use the information provided in Req 4 a to calculate Russell's degree of operating leverage. Complete this question by entering your answers in the tabs below. Drepare a contribution margin income statement assuming Russel drove 1,750 mifes last month. Russell Preston delivers parts for several local auto parts stores. He charges clients $0,90 per mile driven. Russcll has determined that If he drives 3.400 miles in a month, his average operating cost is $0.70 per mile. If he drives 4.400 miles in a month, his average operating cost is $0.60 per mile. Russell has used the high-low method to determine that his monthly cost equation is total cost = $960+$0.26 per mile. Requlred: 1. Determine how many miles Russell needs to difve to break oven. 2. Assume Russell drove 1,750 miles last month. Without making any additional calculations, determine whether he eamed a profit or a loss last month. 3. Determine how many miles Russell must drive to earn $1,600 in profit. 4-a. Prepare a contribution margin income statement assuming Russell drove 1,750 miles last month. 4-b. Use the information provided in Req 4 a to calculate Russeli's degree of operating leverage