Celine Co. generates sales of P 500,000. Variable cost is 25% and fixed cost isP 75,000. Compute: Degree of operating leverage.
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Celine Co. generates sales of P 500,000. Variable cost is 25% and fixed cost isP 75,000. Compute: Degree of operating leverage.
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- Operating income for PQR company is $20,000, variable cost per unit is $6, number of units sold are 10,000 and sales price per unit is $10, degree of operating leverage for PQR will be: Select one: a. 2 times b. 4 times c. 3 times d. 1.5 timesCatculate the degree of operating leverage, financial leverage, and the combined leverage from the following data: Sales 1,00,000 units @ Rs. 2 per unit = Rs.2,00,000. Variable cost per unit@Rs.0.70. Fixed cost Rs. 1,00,000. Interest charges Rs. 3668.If sales are $309,000, variable costs are 75% of sales, and operating income is $36,000, the operating leverage is Oa. 64 Оb. 1.6 Oc. 2.1 Od. 0.0
- From the following information, calculate Operating Leverage, Financial Leverageand Combined Leverage :Particulars Amount (Rs.)Sales 9,00,000EBIT 2,40,000EBT 1,25,000Tax Rate 35%Variable Cost 60% of salesIf sales are $295,000, variable costs are 75% of sales, and operating income is $51,500, the operating leverage is a.4.3 b.1.1 c.1.4 d.0.0Help Degree of operating leverage Grey Products has fixed operating costs of $377,000, variable operating ocosts of $16.72 per unit, and a selling price of $64.78 per unit. arse Home a. Calculate the operating breakeven point in units. b. Calculate the firm's EBIT at 10,000, 12,000, and 14,000 units, respectively. c. With 12,000 units as a base, what are the percentage changes in units sold and EBIT as sales move from the base to the other sales levels used in part (b)? d. Use the percentages computed in part (c) to determine the degree of operating leverage (DOL). e. Use the formula for degree of operating leverage to determine the DOL at 12,000 units. wws asignments tudy Plan a. The operating breakeven point is units. (Round to the nearest integer.) Results Pearson eText Multimedia Libra Financial Calculat Chapter Resource Enter your answer in the answer box and then click Check Answer. Dynamic Study Modules Check Answer 10 parts remaining Clear All Communication Tools > 12:27 4/30/2…
- Frontier Corp. has a contribution margin of $1,682,000 and profit of $336,400. What is its degree of operating leverage? Multiple Choice 0.20 5.80 14.50 5.00Frontier Corporation has a contribution margin of $512,000 and net operating income of $128,000. What is its degree of operating leverage? Multiple Choice 0.25 4.75 9.50 4.00 DBased on the below data, compute for the Degree of Operating Leverage: Sales 100,000,000 Variable Cost 40,000,000 Fixed Cost 40,000,000
- Tom Company reports the following data: Sales Variable costs Fixed costs Determine Tom Company's operating leverage. Round your answer to one decimal place. $156,332 81,532 30,800Company A has current sales of $4.000.000 and a 45% contribution margin. Its fixed costs are S600.000. Company B is a service firm with current service revenue of $2,800,000 and a 15% contribution margin. Company B's fixed costs are $375,000. Compute the degree of operating leverage for both companies.The cost equation of YTS Inc. is y = 35x + 400,000. y is the profit, 35 is the contribution margin per unit, x is the number of units sold, and 400,000 is the total fixed cost. What is the total units to be sold to arrive a profit of 146,000?