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A project requires an initial investment of $1,074 and is depreciated straight-line to zero salvage over its 5-year life. The project produces items that sell
A project requires an initial investment of $1,074 and is depreciated straight-line to zero salvage over its 5-year life.
The project produces items that sell for $45 each, with variable costs of $4 per unit.
Fixed costs are $409 per year. If the Company is selling 24 units of this product,
what is Degree of Operating Leverage (DOL)?
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