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RISK AND RETURN A forecast for the next production year of Alpha Ltd was as follows: Sales would be 8500 units at a selling price

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RISK AND RETURN A forecast for the next production year of Alpha Ltd was as follows: Sales would be 8500 units at a selling price of R150 per unit; the marginal income ratio is 40% and the total fixed cost of R360000. As the financial assistant of the company, you have been asked to help the company determine the following: Required: . Calculate the degree of operating leverage at a production level of 7000 units State, explain and give the difference between two types of leverage

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