Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

apes to the mitay for $15 a bag The twed costs of this operation are $99,000, while the varable costs of grapes are $ 15

image text in transcribed
image text in transcribed
apes to the mitay for $15 a bag The twed costs of this operation are $99,000, while the varable costs of grapes are $ 15 per pound Healthy Foods Inc. sells 60-pound bags of gr a. What is the break-even point in bags? 16500 b. Calculate the proft or loss (EBIT) on 12.000 bags and on 31,000 bags 12,000 Loss c. What is the degree of operating leverage at 20,000 bags and at 31,000 bags? (Round your answers to 2 decimal places.) ee of Bags d. If Healthy Foods has an annual interest expense of $7,000, calculate the degree of financial leverage at both 20,000 and 31,000 bags (Round your answers to 2 decimal places) of f Bags 20,000 1,000 e. What is the degree of combined leverage at both 20,000 and 31,000 bags? (Round your answers to 2 cecimal places.) Bags 20.000 31,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions