Following is information about the Super Shoe Store (SSS): Selling price per unit ........ $ 50 Variable
Question:
Selling price per unit ........ $ 50
Variable cost per unit ........ $ 30
Fixed operating costs ........ $120,000
a. What is SSS’s operating income (NOI) when sales are 10,000 units (boxes of shoes)?
b. How many pairs of shoes does SSS have to sell to break even with its operations?
c. If the firm normally sells 10,000 pairs of shoes, what is SSS’s degree of operating leverage?
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a Sales 10000 x 50 500000 Vari...View the full answer
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