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Calculate the degree of operating leverage for the company below: Total costs 275,000 Variable costs 150,000 DOL ______________ Operating Cash Flow 250,000 Expected Quantity 6,000
Calculate the degree of operating leverage for the company below:
Total costs 275,000
Variable costs 150,000 DOL ______________
Operating Cash Flow 250,000
Expected Quantity 6,000
Actual Quantity 6,300
What is the percent increase in quantity? ______________
If quantity increases by this amount, what will be the percent increase in OCF? ______________
New OCF dollar amount __________________
New DOL at the higher quantity _________________
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