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QUESTION 5 If the firm's degree of operating leverage is 3.8, what percentage change in sales will result in a 13.8% fall in profits? A.
QUESTION 5 If the firm's degree of operating leverage is 3.8, what percentage change in sales will result in a 13.8% fall in profits? A. 10.00% B. 0.28% c.-3.63% D.-2.75% QUESTION 6 When the operating cash flow of a project is equal to zero, the project is operating at the: Maximum possible level of production. Minimum possible level of production. Financial break-even point. Accounting break-even point C. D. Cash break-even point. QUESTION 8 Dillon & Daughters is evaluating a project that will increase annual sales by $150,000 and annual cash costs by $95,000. The project will initially require $120,000 in fixed assets that will be depreciated straight-line to a zero book value over the four-year life of the project. The applicable tax rate is 32 percent. What is the operating cash flow for this project? A$47,000 B. $65,000 $43,000 0 $33,400 E$25,000
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