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Question 1 5 pts A new restaurant is ready to open for business. It is estimated that the food cost (variable cost) will be 6%
Question 1 5 pts A new restaurant is ready to open for business. It is estimated that the food cost (variable cost) will be 6% of sales, while fixed cost will be $450,000. The first year's sales estimates are $8. Calculate the firm's operating breakeven level of sales. Question 2 5 pts A new restaurant is ready to open for business. It is estimated that the food cost (variable cost) will be 40% of sales, while fixed cost will be $441,559. The first year's sales estimates are $1,250,000. Calculate the firm's degree of operating leverage (DOL). Question 3 5 pts Maverick Technologies has sales of $3,000,000. The company's fixed operating costs total $545,467 and its variable costs equal 60% of sales. The company's interest expense is $500,000. What is the company's degree of total leverage (DTL)
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