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Please help me for my homework! Be careful when solving problems. I really need the right answers 1- Suppose that a company had a target
Please help me for my homework! Be careful when solving problems. I really need the right answers
1- Suppose that a company had a target of 4.000.000 $ of sales revenues and 1.000.000 $ of profits. However, due to macroeceonomic reasons, the company had only achieved half of the sales target and generated 200.000 $ of profits only. What is the margin of safety ratio in the current year? a) 0,15 b) 0,20 c) 0,25 d) 0,30 e) Other: 2- Refer to Question 2. What is the degree of operating leverage for the company at the target profit level? a) 1,4 b) 1,6 c) 1,8 d) 1.2 e) OtherStep by Step Solution
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