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Problem 15: Degree of Operating Leverage The following inforrnation pertains to Jan Corp. Operating Leverage 4 Fixed Costs P 30,000 Current Year Total Peso Sale

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Problem 15: Degree of Operating Leverage The following inforrnation pertains to Jan Corp. Operating Leverage 4 Fixed Costs P 30,000 Current Year Total Peso Sale P 125,000 Required: 1. How much is the company's CM Ratio? 2. How much is the company's total variable cost at break-even point? 3. How much would die company's net income be if total sales would increase by P 10,000? Problem 16: Degree of Operating Leverage Mindoro Corporation currently has an operating leverage of 4, sales is expected to increase by 12.5% in the following year. The annual fixed cost amounted to P 100,000. Required: 1. What is the expected operating income in the following year? 2. What is the expected degree of operating leverage in the following year

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