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6. FSU has fixed costs of $75 million and profits of $4 million. Its competitor, UF, is roughly the same size and this year earned

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6. FSU has fixed costs of $75 million and profits of $4 million. Its competitor, UF, is roughly the same size and this year earned the same profits, $4 million. But it operates with fixed costs of $85 million and lower variable costs. (L012-3) a. Which firm has higher operating leverage? b. Which firm will ikely have higher profits if the economy strengthens

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