Question: Consider a four-year project with the following information: initial fixed asset investment - $580,000; straight-line depreciation to zero over the four-year life; zero salvage value;

Consider a four-year project with the following information: initial fixed asset investment - $580,000; straight-line depreciation to zero over the four-year life; zero salvage value; price $42: variable costs-$29; fixed costs- $255,000; quantity sold-94,000 units; tax rate 24 percent. a. What is the degree of operating leverage at the given level of output? (Do not round intermediate calculations and round your answer to 4 decimal places, e.g. 32.1616.) b. What is the degree of operating leverage at the accounting break-even level of output? (Do not round intermediate calculations and round your answer to 4 decimal places, e.g., 32.1616.) Answer is not complete. a. Degree of operating leverage b. Degree of operating leverage 2.7586
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