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Return to question Healthy Foods Inc. sells 50-pound bags of grapes to the military for $10 a bag. The fixed costs of this operation are
Return to question Healthy Foods Inc. sells 50-pound bags of grapes to the military for $10 a bag. The fixed costs of this operation are $90,000, while the variable costs of grapes are $0.10 per pound. 10 points a. What is the break-even point in bags? (Round your answer to 2 decimal places.) Answer is complete and correct. 18,000.00 bags Break-even point b. Calculate the profit or loss (EBIT) on 10,000 bags and on 30,000 bags. Answer is complete but not entirely correct. Bags 10,000 30,000 Profit/Loss Loss Profit $ O$ Amount 40,000 80,000 c. What is the degree of operating leverage at 23,000 bags and at 30,000 bags? (Round your answers to 2 decimal places.) Bags Peg Degree of Operating Leverage 23,000 30,000 d. If Healthy Foods has an annual interest expense of $9,000, calculate the degree of financial leverage at both 23,000 and 30,000 bags. (Round your answers to 2 decimal places.) Bags Degree of Financial Leverage 23,000 30,000 e. What is the degree of combined leverage at both 23,000 and 30,000 bags? (Round your answers to 2 decimal places.) Bags Degree of Combined Leverage 23,000 30,000
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