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Complete this question by entering your answers in the tabs below. Assume that Cove sold 420 cakes last month. Calculate the company's degree of operating
Complete this question by entering your answers in the tabs below. Assume that Cove sold 420 cakes last month. Calculate the company's degree of operating leverage. Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Calculate Cove's new break-even point under each of the following independent scenarios: Note: Round your answers to the nearest whole number. a. Sales price increases by $1.70 per cake. b. Fixed costs increase by $535 per month. c. Variable costs decrease by $0.38 per cake. d. Sales price decreases by $0.50 per cake. Complete this question by entering your answers in the tabs below. Using the degree of operating leverage, calculate the change in profit caused by a 14 percent increase in sales revenue Note: Round your final answer to 2 decimal places. (i.e. 0.1234 should be entered as 12.34%.) Cove's Cakes is a local bakery. Price and cost information follows: Required: 1. Calcutate Coves new break-even point under each of the following independent scenarios: a. Sales price increases by $1.70 per cake. b. Fixed costs increase by $535 per month. c. Variable costs decrease by $0.38 per cake. d. Sales price decreases by 50.50 per cake 2. Assume that Cove sold 420 cakes last month, Calculote the company's degree of operating leverage 3. Using the degree of operating leverage, calculate the change in profit caused by a 14 percent increase in sales rovenue. Complete this question by eatering your answers in the tabs below. Calculate Coves s new break-even point under each of the foliowing independent scenaris: Noter: Bound vour answers to the pearest whole number a. Sales price increases by $1.70 per cake. c. Variahie costs decrease toy to is per cale d. Sains price decreales by 50.50 per cale
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