Russel Preston delivers parts for several local auto parts stores. He charges clients $0.85 per mile driven Russell has determined that if he drives 2,500 miles in a month, his average operating cost is $0.50 per mile If he drives 3.500 miles in a month, his average operating cost is $0.40 per mile. Russell has used the high-low method to determine that his monthly cost equation is total cost = $980 $0.15 per mile Required: 1. Determine how many miles Russell needs to drive to break even 2. Assume Russell drove 1600 miles last month Without making any additional calculations, determine whether he earned a proht or a loss last month 3. Determine how many miles Russell must drive to earn $1400 in profit 4-a. Prepare a contribution margin income statement assuming Russell drove 1600 miles last month 4-5. Use the information provided in Req 4a to calculate Russell's degree of operating leverage Complete this question by entering your answers in the tabs below. Re1 Red 2 Reg 3 Reg 4A Reg 4B Determine how many miles Russell needs to drive to break even Break Even Me Miles Reg Reg 2 > Russell Preston delivers parts for several local auto parts stores. He charges clients $0.85 per mile driven Russell has de if he drives 2,500 miles in a month, his average operating cost is $0.50 per mile. If he drives 3,500 miles in a month his operating cost is $0.40 per mile. Russell has used the high-low method to determine that his monthly cost equation is to + $0.15 per mile. Required: 1. Determine how many miles Russell needs to drive to break even. 2. Assume Russell drove 1.600 miles last month. Without making any additional calculations, determine whether he earne loss last month. 3. Determine how many miles Russell must drive to earn $1,400 in profit. 4-a. Prepare a contribution margin income statement assuming Russell drove 1.600 miles last month. 4-6. Use the information provided in Req 4a to calculate Russell's degree of operating leverage. Complete this question by entering your answers in the tabs below. Req 1 Real Reg 3 Req 4A Req 4B Assume Russell drove 1,600 miles last month. Without making any additional calculations, determine whether he earned a profit or a loss last month. O Profit Loss Russell Preston delivers parts for several local auto parts stores. He charges clients $0.85 per mile driven Russell ha if he drives 2.500 miles in a month, his average operating cost is $0.50 per mile. If he drives 3,500 miles in a month, operating cost is $0.40 per mile. Russell has used the high-low method to determine that his monthly cost equation + $0.15 per mile. Required: 1. Determine how many miles Russell needs to drive to break even 2. Assume Russell drove 1,600 miles last month. Without making any additional calculations, determine whether he e loss last month. 3. Determine how many miles Russell must drive to earn $1.400 in profit. 4-a. Prepare a contribution margin income statement assuming Russell drove 1,600 miles last month. 4-6. Use the information provided in Req 4a to calculate Russell's degree of operating leverage. month, Complete this question by entering your answers in the tabs below. Reg 1 Req 2 Req 4A Req 48 Determine how many miles Russell must drive to earn $1,400.00 in profit. Miles Farget Miles Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req3 Req 4A Reg 4B Prepare a contribution margin income statement assuming Russell drove 1,600 miles last month. RUSSELL PRESTON Contribution Margin Income Statement For Last Month Contribution Margin Income from Operations LIVIH PUTEVI JUMLULUI VIELY U.www. if he drives 2,500 miles in a month, his average operating cost is $0.50 per mile. If he drives 3,500 miles in a month, his operating cost is $0.40 per mile Russell has used the high-low method to determine that his monthly cost equation is to + $0.15 per mile Required: 1. Determine how many miles Russell needs to drive to break even 2. Assume Russell drove 1,600 miles last month. Without making any additional calculations, determine whether he earne loss last month 3. Determine how many miles Russell must drive to earn $1.400 in profit. 4-a. Prepare a contribution margin income statement assuming Russell drove 1,600 miles last month. 4-b. Use the information provided in Req 4a to calculate Russell's degree of operating leverage Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Reg 3 Req 4A Req 48 Use the information provided in Req da to calculate Russell's degree of operating leverage. (Round your answer to the 2 decimal places.) Degree of Operating Leverage
