Question: 10. value 8.33 points Consider a four-year project with the following information initial fixed asset investment = $500,000 straight-line depreciation to zero over the four-year
10. value 8.33 points Consider a four-year project with the following information initial fixed asset investment = $500,000 straight-line depreciation to zero over the four-year life: zero salvage value price = $35variable costs = $26: fixed costs = 5200,000; quantity sold = 80,000 units; tax rate = 35 percent. What is the degree of operating leverage at the given level of output? (Do not round intermediate calculations. Round your answer to 4 decimal places, e.g. 32.1616.) Degree of operating leverage What is the degree of operating leverage at the accounting break-even level of output? (Do not round intermediate calculations. Round your answer to 4 decimal places, 0.9.32.1616.) Degree of operating leverage References eBook & Resources Worksheet Learning Objective: 11-04 How the degree of operating leverage can affect the cash flows of a project Difficulty: Intermediate Section 11.5 Operating Loverage Check my work
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