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At an output level of 17,000 units, you have calculated that the degree of operating leverage is 2.20. The operating cash flow is $64,000 in
At an output level of 17,000 units, you have calculated that the degree of operating leverage is 2.20. The operating cash flow is $64,000 in this case. Ignoring the effect of taxes, what are fixed costs?
What will the operating cash flow be if output rises to 18,000 units?
What will the operating cash flow be if output falls to 16,000 units?
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