Chp. 11, #8

At an output level of 50,000 units, you calculate that the degree of operating leverage is 3.50. Suppose fixed costs are $290,000. What is the operating cash flow at 44,000 units? (Do not round intermediate calculations and round your final answer to the nearest whole number, e.g., 32.)

Operating cash flow

$

What is the new degree of operating leverage? (Do not round intermediate calculations and round your final answer to 3 decimal places, e.g., 32.161.)

Degree of operating leverage