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6 help A proposed project has fixed costs of $35,000 per year. The operating cash flow at 18,000 units is $68,000. a. Ignoring the effect
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A proposed project has fixed costs of $35,000 per year. The operating cash flow at 18,000 units is $68,000. a. Ignoring the effect of taxes, what is the degree of operating leverage? DOL b. If units sold rise from 18,000 to 18,100, what will be the increase in operating cash flow? OCF at 18,100 units rise from 18,000 to 18,100, what will be the increase in operating flow? OCF at 18,100 units c. What is the new degree of operating leverage? New DOL Step by Step Solution
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