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Question 25 (3 points) Sales (75,000 units) $750,000 Variable costs 225,000 Contribution margin 525,000 Fixed manufacturing costs 187,500 Operating income 337,500 Interest 75,000 Earnings
Question 25 (3 points) Sales (75,000 units) $750,000 Variable costs 225,000 Contribution margin 525,000 Fixed manufacturing costs 187,500 Operating income 337,500 Interest 75,000 Earnings before taxes 262,500 Taxes (at 31%) 81,375 Net income $181,125 Shares outstanding The Degree of Operating Leverage is: 1.56x. 15,000 1.43x. 3.33x. 2.22x.
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Intermediate Accounting
Authors: kieso, weygandt and warfield.
14th Edition
9780470587232, 470587288, 470587237, 978-0470587287
