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c) Operating Leverage Two firms with the same sale and profit levels are shown below: Firm A Firm B Sales $ 1,000,000 $ 1,000,000 Variable

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c) Operating Leverage Two firms with the same sale and profit levels are shown below: Firm A Firm B Sales $ 1,000,000 $ 1,000,000 Variable costs 500,000 700,000 Contribution margin 500,000 300,000 Fixed costs 300,000 100,000 Profit 200,000 S 200,000 Required: Determine how much profits would increase by if both experienced a 20% increase in sales.ell Multi-Productales Mix Bi-Products sell two products with the following revenue, cost, and mix data: A B Unit sales price 5 25 5 ED Unit variable met 1!] 2!] Sales mix [unils] 4 2 Fixed cost magma) calculate the HEP in total sales

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