Question: ANSWER ALL PLEASE!! QUESTION 1 A new restaurant is ready to open for business. It is estimated that the food cost (variable cost) will be

ANSWER ALL PLEASE!!

QUESTION 1

A new restaurant is ready to open for business. It is estimated that the food cost (variable cost) will be 40% of sales, while fixed cost will be $460,707. The first years sales estimates are $1,250,000. Calculate the firms degree of operating leverage (DOL). Answer to 2 decimal places.

QUESTION 2

A new restaurant is ready to open for business. It is estimated that the food cost (variable cost) will be 68.32% of sales, while fixed cost will be $450,000. The first years sales estimates are $1,192,441. Calculate the firms operating breakeven level of sales. Answer to 2 decimal places.

QUESTION 3

Maverick Technologies has sales of $3,000,000. The companys fixed operating costs total $531,307 and its variable costs equal 60% of sales. The companys interest expense is $500,000. What is the companys degree of total leverage (DTL)? Answer to 2 decimal places.

QUESTION 4

Maverick Technologies has sales of $3,000,000. The companys fixed operating costs total $500,000 and its variable costs equal 60% of sales, so the companys current operating income is $700,000. The companys interest expense is $514,109. What is the companys degree of financial leverage (DFL)? Answer to 2 decimal places.

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