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A proposed project has fixed costs pf $100,000 per year. The operating cash flow at 8,000 units is $89,000. Ignoring the effect of taxes, what
A proposed project has fixed costs pf $100,000 per year. The operating cash flow at 8,000 units is $89,000. Ignoring the effect of taxes, what is the degree of operating leverage? Round answer to 4 decimal places. If units sold rise from 8,000 to 8,500, what will be the new operating cash flow? Round answer to 2 decimal places. What is the new degree of operating leverage? Round answer to 4 decimal places. Please show steps.
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