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Which of the following will calculate the DOL in B8? A B 1 Sales 5,000,000 2 Variable Costs 2,000,000 3 Fixed Costs 1,500,000 4 EBIT
Which of the following will calculate the DOL in B8?
A | B | |
1 | Sales | 5,000,000 |
2 | Variable Costs | 2,000,000 |
3 | Fixed Costs | 1,500,000 |
4 | EBIT | 1,500,000 |
5 | Unit Sales | 100,000 |
6 | Price per Unit | 50.00 |
7 | Variable Cost per Unit | 20.00 |
8 | Degree of Operating Leverage | ? |
Group of answer choices
=B5*(B6-B7)/B4
=(B1-B2)/(B1-B2-B3)
All of them
=(B1-B2)/B4
=(B5*B6-B5*B7)/(B5*B6-B5*B7-B3)
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