# Question: Use the following information to calculate the company s operating leverage

Use the following information to calculate the companyâ€™s operating leverage, financial leverage, and combined leverage:

Sales volume .......... 100,000 units

Price per unit .......... $ 11.30

Interest ............ $ 2 5,000

Variable costs (per unit) ....... $ 8.30

Fixed costs ........... $100,000

Corporate income tax rate ..... 40%

Sales volume .......... 100,000 units

Price per unit .......... $ 11.30

Interest ............ $ 2 5,000

Variable costs (per unit) ....... $ 8.30

Fixed costs ........... $100,000

Corporate income tax rate ..... 40%

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