Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Sep 01, 2024

Dublin Company and Gary Corp. have degrees of operating leverage of 3.1 and 2.4, respectively. Both companies have net income of $40,000. Required: 1. Without

Dublin Company and Gary Corp. have degrees of operating leverage of 3.1 and 2.4, respectively. Both companies have net income of $40,000. Required: 1. Without performing any calculations, which company is more vulnerable to fluctuations in sales level?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions

Question

9.23 Healthy Eating Canadians are becoming more conscious about the importance of good nutrition, and some researchers believe we may be altering our diets to include less red meat and more fruits...

Answered: 1 week ago

Question

★★★★★

The Rio Credit Union has $ 250,000 available to invest in a 12- month commitment. The money can be placed in Brazilian treasury notes yielding an 8% return or in riskier high-yield bonds at an...

Answered: 1 week ago

Question

★★★★★

1 . Based on what you have learnt in the class, do the following steps: a . Create a new folder b . Put the following files in the folder Code.txt Log.txt Output.txt c . Stage the Code.txt and...

Answered: 1 week ago

Question

★★★★★

Assume that output began at its natural level. By using AD-AS (upward sloping) and Phillips curves, analyze the short and long run effects for each of these situations: a) The government decreases...

Answered: 1 week ago

Question

★★★★★

Assume that last year in a particular state with 700000 children there were 1307 children out of 33400 in a random sample who were diagnosed with Autism Spectrum Disorder. Nationally, 1 out of 88...

Answered: 1 week ago

Question

★★★★★

Exercise 14-30 (Algo) ROI versus RI (LO 14-2, 3) Albany Division is considering the acquisition of a new asset that will cost $540,000 and have a cash flow of $186,000 per year for each of the four...

Answered: 1 week ago

Question

★★★★★

In a famous study done in the 1960s two dolphins, Doris and Buzz, were trained to work together to earn fish. Doris was shown a light underwater. If the light was on steadily, her partner Buzz on the...

Answered: 1 week ago

Question

★★★★★

A gas with molecular weight of 35 kg/kmol, specific heat cp=1.049 kJ/kg.K, critical pressure of 27 bar, and critical temperature of 395 K undergoes a cooling process. At the end of the process the...

Answered: 1 week ago

Question

★★★★★

Suppose the chi-square statistic for a test was 6.991. If instead, the chi-square statistic had been 5.332, would the p-value be smaller, larger, or remain the same

Answered: 1 week ago

Previous Question Next Question