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Please help with this accounting question. Will be sure to leave a review. Thank you in advance! 1.Lubke Corporation's contribution format income statement for the
Please help with this accounting question. Will be sure to leave a review. Thank you in advance!
1.Lubke Corporation's contribution format income statement for the most recent month follows: Sales Variable expenses S 506,000 236,500 269,500 241,700 S 27.800 Fixed expenses Net operating income Required: a Compute the degree of operating leverage to two decimal places. h. Using the degree of operating leverage, estimate the percentage change in net operating income should result fom a 3% increase in sales. c Compute the breakeven point in sales d. What level of sales does Lubke need to earn a net income of $50,000 before taxes? e. What level of sales does Lable need to earn a net income of $40,000 after taxes if the tax rate is 30% Step by Step Solution
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